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Group Buying and Customer Perceived Empowerment
BY
Choi Sin Yi Emma
09019812
China Business Studies
AND
Wu Yuen Ying Flora
09017836
China Business Studies
An Honors Degree Project Submitted to the School of Business
in Partial Fulfillment of the Graduation Requirement for the
Degree of Bachelor of Business Administration (Honors)
Hong Kong Baptist University
Hong Kong
April 2012
1
Content
Acknowledgements 3
Abstract 4
1 Problem development and Objectives
11 Background of the problem 5-6
12 Objectives of the Study 6
2 Literature Review and Hypotheses
21 Definition of Purchase Intention 6-7
22 Factors affecting purchase Intention in group buying 7
23 Research Model and Hypotheses 7-12
3 Methodology
31 Subject 13
32 Research design 13-14
33 Questionnaire Design 14-15
34 Sampling method 15-16
35 Measurements 16-17
4 Data Analysis and Result
41 Primary Data Analysis and Descriptive statistics 17-18
42 Reliability Test 18
43 Regression Analysis
431 Direct effects of each independent variables 19-20
432 The moderating effect of customer perceived empowerment 21
a Interactions between product review and customer perceived
empowerment 21-22
b Interactions between alternative purchase channels and customer
perceived empowerment 22
c Interactions between peer Influence and customer perceived
empowerment 23
d Interactions between group buying companiesrsquo services standard and
customer perceived empowerment 23-24
2
5 Discussion of the Results and Implications
51 Theoretical implications
511 Product review 27
512 Alternative purchase channels 27-28
513 Peer influence 28
514Group buying companiesrsquo services standard 28-29
515 Customer perceived empowerment as Moderator 29
516Moderating effect of product review 29
517 Moderating effect of alternative purchase channels 30
518 Moderating effect of peer influence 30-31
519 Moderating effect of group buying companiesrsquo services standard 31
6 Managerial Implications and Recommendation 31-32
7 Limitation and Future research 32-33
8 Conclusion 33-35
9 Reference 36-38
10 Appendix
101 Appendix A (Questionnaire sample) 40-47
102 Appendix B (Demographic Statistics) 48-50
103 Appendix C (Measurements) 51-55
104 Appendix D (Reliability Test Result) 56-57
105 Appendix E (Regression Analysis Result) 58-60
3
Acknowledgements
I would like to take this opportunity to express my sincere gratitude to my Honors
Project supervisorndash Professor Danny Wang for his support throughout the research
process He devoted his valuable time and efforts in giving me guidance throughout the
project I am sure this project would not be completed so smoothly without his kind help
His expertise in research area inspired us with lots of valuable suggestions and
recommendations which contributed to our excellence in this research
Besides I would like to show our appreciation to those who had helped me to
distribute my questionnaires and our dearest classmates friends and family members for
their wholehearted support during the research process
Also I would like to express my special thanks to all respondents who spent their
valuable time in filling out the questionnaire
4
Abstract
Grouping buying is becoming more popular than previous years there are more and
more studies examining factors affecting group buying behavior Although many
factors affecting purchase intention have been tested there are limited studies related
to alternative purchase channels group buying companies‟ services standard and
incorporating customer perceived empowerment as moderators in interacting with
independent variables
Therefore our study explored the direct effect of factors on consumers‟ purchase
intention of group buying in Hong Kong and China In our model direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention in group buying will be examined
Also customer perceived empowerment will be tested as moderators in interacting
with independent variables
In this study there are two main objectives Firstly we want to examine how the
four variables suggested in the model in this research related to purchase intention and
to identify the effectiveness of the independent variables Secondly we focus on how
customers‟ empowerment moderates the effect of these variables towards purchase
intention
Our results show that product review towards purchase intention in group buying is
the most important fact that driving consumers to make their purchase intention when
buying products services from group buying Regarding the moderating role of
customer perceived empowerment we found that it significantly moderate the
relationship between product review alternative purchase channels group buying
companies‟ services standard and purchase intention Implications recommendations
limitations and future research will be discussed at the end of study
5
1 Problem development and Objectives
11 Background of the problem
Group buying also known as collective buying offers products and services at
significantly reduced prices on the condition that a minimum number of buyers would
make the purchase Compared to traditional shopping customers can have more price
negotiation To achieve the success of group buying companies place great emphasis
on both attracting new customers and build long term relationship with customers As
group buying always entails a certain level of risk customers will bet about the
ambiguity of the future and the probable reactions of others (eg possibly reliable
vendors and the discount providers)
A consumer must determine whether they can (1) review and know the product
well (2)have alternative purchase channels (3) other third parties to ensure fair
exchange before they commit group buying (Grabner- Krauter amp Kaluscha 2003
Kim 2005 Urban 1999) Also the potential advantages of the group buying can be
attained if Service Standards is achieved for customers By adopting the concept from
Barnes and Vidgen 2003 Bressolles2006 Parasuraman Zeithaml and
Malhotra2005 Wolfinbarger and Gilly 2003 we measure service standard in four
dimension 1)Information 2) Ease of use 3) Website design and 4) Reliability
These four variables would exert certain extent of influence on purchase
intention we believe that customer perceived empowerment would moderate the
strength of these four variables influences on purchase intention Therefore we use
method of empowerment and the feeling of customers to investigate the moderating
effect it exerts on the relationship between four variables and customer perceived
empowerment
The relationship between peer influences and purchase intention had been
studied for many times before However not too many updated research on whether
6
customer perceived empowerment do exert moderating effects on them
12 Objectives of the Study
Accordingly our purposes are (1) to verify which variables would be more
influential in affecting customer‟s intention to use group buying and (2) to explore the
moderating effects of customer perceived empowerment on moderating four
independent variables
To achieve these objectives we examined consumers‟ attitudes towards the
independent variables in Hong Kong and China with the research model of the effect
of price dispersion (Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang 2006) and
integrating customer perceived empowerment as moderators in the model
Group buying is a great opportunity However the competition in group buying
market is fierce in recent year and people still remain reluctant to make purchases due
to the risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Therefore it is
essential for the companies to understand the how the variables factors affecting the
purchase intension The result from this research would be practical for them to
recognize how to attract customers to join group buying
2 Literature Review and Hypotheses
21 Definition of Purchase Intention
Purchase intention is the possibility of a consumer to buy a product (Dodds et al
1991 Schiffman amp Kanuk 2000) Consumers will follow their experience preference
and external environment to collect information evaluate alternatives and make
purchase decision (Zeithaml 1988 Dodds et al 1991 Schiffman amp Kanuk 2000
Yang 2009)The higher the purchase intention is the higher a consumer‟s willingness
is to buy the product As a consumer‟s attitude and assessment and external factors
construct consumer purchase intention it is a critical factor to predict consumer
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
1
Content
Acknowledgements 3
Abstract 4
1 Problem development and Objectives
11 Background of the problem 5-6
12 Objectives of the Study 6
2 Literature Review and Hypotheses
21 Definition of Purchase Intention 6-7
22 Factors affecting purchase Intention in group buying 7
23 Research Model and Hypotheses 7-12
3 Methodology
31 Subject 13
32 Research design 13-14
33 Questionnaire Design 14-15
34 Sampling method 15-16
35 Measurements 16-17
4 Data Analysis and Result
41 Primary Data Analysis and Descriptive statistics 17-18
42 Reliability Test 18
43 Regression Analysis
431 Direct effects of each independent variables 19-20
432 The moderating effect of customer perceived empowerment 21
a Interactions between product review and customer perceived
empowerment 21-22
b Interactions between alternative purchase channels and customer
perceived empowerment 22
c Interactions between peer Influence and customer perceived
empowerment 23
d Interactions between group buying companiesrsquo services standard and
customer perceived empowerment 23-24
2
5 Discussion of the Results and Implications
51 Theoretical implications
511 Product review 27
512 Alternative purchase channels 27-28
513 Peer influence 28
514Group buying companiesrsquo services standard 28-29
515 Customer perceived empowerment as Moderator 29
516Moderating effect of product review 29
517 Moderating effect of alternative purchase channels 30
518 Moderating effect of peer influence 30-31
519 Moderating effect of group buying companiesrsquo services standard 31
6 Managerial Implications and Recommendation 31-32
7 Limitation and Future research 32-33
8 Conclusion 33-35
9 Reference 36-38
10 Appendix
101 Appendix A (Questionnaire sample) 40-47
102 Appendix B (Demographic Statistics) 48-50
103 Appendix C (Measurements) 51-55
104 Appendix D (Reliability Test Result) 56-57
105 Appendix E (Regression Analysis Result) 58-60
3
Acknowledgements
I would like to take this opportunity to express my sincere gratitude to my Honors
Project supervisorndash Professor Danny Wang for his support throughout the research
process He devoted his valuable time and efforts in giving me guidance throughout the
project I am sure this project would not be completed so smoothly without his kind help
His expertise in research area inspired us with lots of valuable suggestions and
recommendations which contributed to our excellence in this research
Besides I would like to show our appreciation to those who had helped me to
distribute my questionnaires and our dearest classmates friends and family members for
their wholehearted support during the research process
Also I would like to express my special thanks to all respondents who spent their
valuable time in filling out the questionnaire
4
Abstract
Grouping buying is becoming more popular than previous years there are more and
more studies examining factors affecting group buying behavior Although many
factors affecting purchase intention have been tested there are limited studies related
to alternative purchase channels group buying companies‟ services standard and
incorporating customer perceived empowerment as moderators in interacting with
independent variables
Therefore our study explored the direct effect of factors on consumers‟ purchase
intention of group buying in Hong Kong and China In our model direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention in group buying will be examined
Also customer perceived empowerment will be tested as moderators in interacting
with independent variables
In this study there are two main objectives Firstly we want to examine how the
four variables suggested in the model in this research related to purchase intention and
to identify the effectiveness of the independent variables Secondly we focus on how
customers‟ empowerment moderates the effect of these variables towards purchase
intention
Our results show that product review towards purchase intention in group buying is
the most important fact that driving consumers to make their purchase intention when
buying products services from group buying Regarding the moderating role of
customer perceived empowerment we found that it significantly moderate the
relationship between product review alternative purchase channels group buying
companies‟ services standard and purchase intention Implications recommendations
limitations and future research will be discussed at the end of study
5
1 Problem development and Objectives
11 Background of the problem
Group buying also known as collective buying offers products and services at
significantly reduced prices on the condition that a minimum number of buyers would
make the purchase Compared to traditional shopping customers can have more price
negotiation To achieve the success of group buying companies place great emphasis
on both attracting new customers and build long term relationship with customers As
group buying always entails a certain level of risk customers will bet about the
ambiguity of the future and the probable reactions of others (eg possibly reliable
vendors and the discount providers)
A consumer must determine whether they can (1) review and know the product
well (2)have alternative purchase channels (3) other third parties to ensure fair
exchange before they commit group buying (Grabner- Krauter amp Kaluscha 2003
Kim 2005 Urban 1999) Also the potential advantages of the group buying can be
attained if Service Standards is achieved for customers By adopting the concept from
Barnes and Vidgen 2003 Bressolles2006 Parasuraman Zeithaml and
Malhotra2005 Wolfinbarger and Gilly 2003 we measure service standard in four
dimension 1)Information 2) Ease of use 3) Website design and 4) Reliability
These four variables would exert certain extent of influence on purchase
intention we believe that customer perceived empowerment would moderate the
strength of these four variables influences on purchase intention Therefore we use
method of empowerment and the feeling of customers to investigate the moderating
effect it exerts on the relationship between four variables and customer perceived
empowerment
The relationship between peer influences and purchase intention had been
studied for many times before However not too many updated research on whether
6
customer perceived empowerment do exert moderating effects on them
12 Objectives of the Study
Accordingly our purposes are (1) to verify which variables would be more
influential in affecting customer‟s intention to use group buying and (2) to explore the
moderating effects of customer perceived empowerment on moderating four
independent variables
To achieve these objectives we examined consumers‟ attitudes towards the
independent variables in Hong Kong and China with the research model of the effect
of price dispersion (Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang 2006) and
integrating customer perceived empowerment as moderators in the model
Group buying is a great opportunity However the competition in group buying
market is fierce in recent year and people still remain reluctant to make purchases due
to the risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Therefore it is
essential for the companies to understand the how the variables factors affecting the
purchase intension The result from this research would be practical for them to
recognize how to attract customers to join group buying
2 Literature Review and Hypotheses
21 Definition of Purchase Intention
Purchase intention is the possibility of a consumer to buy a product (Dodds et al
1991 Schiffman amp Kanuk 2000) Consumers will follow their experience preference
and external environment to collect information evaluate alternatives and make
purchase decision (Zeithaml 1988 Dodds et al 1991 Schiffman amp Kanuk 2000
Yang 2009)The higher the purchase intention is the higher a consumer‟s willingness
is to buy the product As a consumer‟s attitude and assessment and external factors
construct consumer purchase intention it is a critical factor to predict consumer
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
2
5 Discussion of the Results and Implications
51 Theoretical implications
511 Product review 27
512 Alternative purchase channels 27-28
513 Peer influence 28
514Group buying companiesrsquo services standard 28-29
515 Customer perceived empowerment as Moderator 29
516Moderating effect of product review 29
517 Moderating effect of alternative purchase channels 30
518 Moderating effect of peer influence 30-31
519 Moderating effect of group buying companiesrsquo services standard 31
6 Managerial Implications and Recommendation 31-32
7 Limitation and Future research 32-33
8 Conclusion 33-35
9 Reference 36-38
10 Appendix
101 Appendix A (Questionnaire sample) 40-47
102 Appendix B (Demographic Statistics) 48-50
103 Appendix C (Measurements) 51-55
104 Appendix D (Reliability Test Result) 56-57
105 Appendix E (Regression Analysis Result) 58-60
3
Acknowledgements
I would like to take this opportunity to express my sincere gratitude to my Honors
Project supervisorndash Professor Danny Wang for his support throughout the research
process He devoted his valuable time and efforts in giving me guidance throughout the
project I am sure this project would not be completed so smoothly without his kind help
His expertise in research area inspired us with lots of valuable suggestions and
recommendations which contributed to our excellence in this research
Besides I would like to show our appreciation to those who had helped me to
distribute my questionnaires and our dearest classmates friends and family members for
their wholehearted support during the research process
Also I would like to express my special thanks to all respondents who spent their
valuable time in filling out the questionnaire
4
Abstract
Grouping buying is becoming more popular than previous years there are more and
more studies examining factors affecting group buying behavior Although many
factors affecting purchase intention have been tested there are limited studies related
to alternative purchase channels group buying companies‟ services standard and
incorporating customer perceived empowerment as moderators in interacting with
independent variables
Therefore our study explored the direct effect of factors on consumers‟ purchase
intention of group buying in Hong Kong and China In our model direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention in group buying will be examined
Also customer perceived empowerment will be tested as moderators in interacting
with independent variables
In this study there are two main objectives Firstly we want to examine how the
four variables suggested in the model in this research related to purchase intention and
to identify the effectiveness of the independent variables Secondly we focus on how
customers‟ empowerment moderates the effect of these variables towards purchase
intention
Our results show that product review towards purchase intention in group buying is
the most important fact that driving consumers to make their purchase intention when
buying products services from group buying Regarding the moderating role of
customer perceived empowerment we found that it significantly moderate the
relationship between product review alternative purchase channels group buying
companies‟ services standard and purchase intention Implications recommendations
limitations and future research will be discussed at the end of study
5
1 Problem development and Objectives
11 Background of the problem
Group buying also known as collective buying offers products and services at
significantly reduced prices on the condition that a minimum number of buyers would
make the purchase Compared to traditional shopping customers can have more price
negotiation To achieve the success of group buying companies place great emphasis
on both attracting new customers and build long term relationship with customers As
group buying always entails a certain level of risk customers will bet about the
ambiguity of the future and the probable reactions of others (eg possibly reliable
vendors and the discount providers)
A consumer must determine whether they can (1) review and know the product
well (2)have alternative purchase channels (3) other third parties to ensure fair
exchange before they commit group buying (Grabner- Krauter amp Kaluscha 2003
Kim 2005 Urban 1999) Also the potential advantages of the group buying can be
attained if Service Standards is achieved for customers By adopting the concept from
Barnes and Vidgen 2003 Bressolles2006 Parasuraman Zeithaml and
Malhotra2005 Wolfinbarger and Gilly 2003 we measure service standard in four
dimension 1)Information 2) Ease of use 3) Website design and 4) Reliability
These four variables would exert certain extent of influence on purchase
intention we believe that customer perceived empowerment would moderate the
strength of these four variables influences on purchase intention Therefore we use
method of empowerment and the feeling of customers to investigate the moderating
effect it exerts on the relationship between four variables and customer perceived
empowerment
The relationship between peer influences and purchase intention had been
studied for many times before However not too many updated research on whether
6
customer perceived empowerment do exert moderating effects on them
12 Objectives of the Study
Accordingly our purposes are (1) to verify which variables would be more
influential in affecting customer‟s intention to use group buying and (2) to explore the
moderating effects of customer perceived empowerment on moderating four
independent variables
To achieve these objectives we examined consumers‟ attitudes towards the
independent variables in Hong Kong and China with the research model of the effect
of price dispersion (Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang 2006) and
integrating customer perceived empowerment as moderators in the model
Group buying is a great opportunity However the competition in group buying
market is fierce in recent year and people still remain reluctant to make purchases due
to the risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Therefore it is
essential for the companies to understand the how the variables factors affecting the
purchase intension The result from this research would be practical for them to
recognize how to attract customers to join group buying
2 Literature Review and Hypotheses
21 Definition of Purchase Intention
Purchase intention is the possibility of a consumer to buy a product (Dodds et al
1991 Schiffman amp Kanuk 2000) Consumers will follow their experience preference
and external environment to collect information evaluate alternatives and make
purchase decision (Zeithaml 1988 Dodds et al 1991 Schiffman amp Kanuk 2000
Yang 2009)The higher the purchase intention is the higher a consumer‟s willingness
is to buy the product As a consumer‟s attitude and assessment and external factors
construct consumer purchase intention it is a critical factor to predict consumer
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
3
Acknowledgements
I would like to take this opportunity to express my sincere gratitude to my Honors
Project supervisorndash Professor Danny Wang for his support throughout the research
process He devoted his valuable time and efforts in giving me guidance throughout the
project I am sure this project would not be completed so smoothly without his kind help
His expertise in research area inspired us with lots of valuable suggestions and
recommendations which contributed to our excellence in this research
Besides I would like to show our appreciation to those who had helped me to
distribute my questionnaires and our dearest classmates friends and family members for
their wholehearted support during the research process
Also I would like to express my special thanks to all respondents who spent their
valuable time in filling out the questionnaire
4
Abstract
Grouping buying is becoming more popular than previous years there are more and
more studies examining factors affecting group buying behavior Although many
factors affecting purchase intention have been tested there are limited studies related
to alternative purchase channels group buying companies‟ services standard and
incorporating customer perceived empowerment as moderators in interacting with
independent variables
Therefore our study explored the direct effect of factors on consumers‟ purchase
intention of group buying in Hong Kong and China In our model direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention in group buying will be examined
Also customer perceived empowerment will be tested as moderators in interacting
with independent variables
In this study there are two main objectives Firstly we want to examine how the
four variables suggested in the model in this research related to purchase intention and
to identify the effectiveness of the independent variables Secondly we focus on how
customers‟ empowerment moderates the effect of these variables towards purchase
intention
Our results show that product review towards purchase intention in group buying is
the most important fact that driving consumers to make their purchase intention when
buying products services from group buying Regarding the moderating role of
customer perceived empowerment we found that it significantly moderate the
relationship between product review alternative purchase channels group buying
companies‟ services standard and purchase intention Implications recommendations
limitations and future research will be discussed at the end of study
5
1 Problem development and Objectives
11 Background of the problem
Group buying also known as collective buying offers products and services at
significantly reduced prices on the condition that a minimum number of buyers would
make the purchase Compared to traditional shopping customers can have more price
negotiation To achieve the success of group buying companies place great emphasis
on both attracting new customers and build long term relationship with customers As
group buying always entails a certain level of risk customers will bet about the
ambiguity of the future and the probable reactions of others (eg possibly reliable
vendors and the discount providers)
A consumer must determine whether they can (1) review and know the product
well (2)have alternative purchase channels (3) other third parties to ensure fair
exchange before they commit group buying (Grabner- Krauter amp Kaluscha 2003
Kim 2005 Urban 1999) Also the potential advantages of the group buying can be
attained if Service Standards is achieved for customers By adopting the concept from
Barnes and Vidgen 2003 Bressolles2006 Parasuraman Zeithaml and
Malhotra2005 Wolfinbarger and Gilly 2003 we measure service standard in four
dimension 1)Information 2) Ease of use 3) Website design and 4) Reliability
These four variables would exert certain extent of influence on purchase
intention we believe that customer perceived empowerment would moderate the
strength of these four variables influences on purchase intention Therefore we use
method of empowerment and the feeling of customers to investigate the moderating
effect it exerts on the relationship between four variables and customer perceived
empowerment
The relationship between peer influences and purchase intention had been
studied for many times before However not too many updated research on whether
6
customer perceived empowerment do exert moderating effects on them
12 Objectives of the Study
Accordingly our purposes are (1) to verify which variables would be more
influential in affecting customer‟s intention to use group buying and (2) to explore the
moderating effects of customer perceived empowerment on moderating four
independent variables
To achieve these objectives we examined consumers‟ attitudes towards the
independent variables in Hong Kong and China with the research model of the effect
of price dispersion (Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang 2006) and
integrating customer perceived empowerment as moderators in the model
Group buying is a great opportunity However the competition in group buying
market is fierce in recent year and people still remain reluctant to make purchases due
to the risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Therefore it is
essential for the companies to understand the how the variables factors affecting the
purchase intension The result from this research would be practical for them to
recognize how to attract customers to join group buying
2 Literature Review and Hypotheses
21 Definition of Purchase Intention
Purchase intention is the possibility of a consumer to buy a product (Dodds et al
1991 Schiffman amp Kanuk 2000) Consumers will follow their experience preference
and external environment to collect information evaluate alternatives and make
purchase decision (Zeithaml 1988 Dodds et al 1991 Schiffman amp Kanuk 2000
Yang 2009)The higher the purchase intention is the higher a consumer‟s willingness
is to buy the product As a consumer‟s attitude and assessment and external factors
construct consumer purchase intention it is a critical factor to predict consumer
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
4
Abstract
Grouping buying is becoming more popular than previous years there are more and
more studies examining factors affecting group buying behavior Although many
factors affecting purchase intention have been tested there are limited studies related
to alternative purchase channels group buying companies‟ services standard and
incorporating customer perceived empowerment as moderators in interacting with
independent variables
Therefore our study explored the direct effect of factors on consumers‟ purchase
intention of group buying in Hong Kong and China In our model direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention in group buying will be examined
Also customer perceived empowerment will be tested as moderators in interacting
with independent variables
In this study there are two main objectives Firstly we want to examine how the
four variables suggested in the model in this research related to purchase intention and
to identify the effectiveness of the independent variables Secondly we focus on how
customers‟ empowerment moderates the effect of these variables towards purchase
intention
Our results show that product review towards purchase intention in group buying is
the most important fact that driving consumers to make their purchase intention when
buying products services from group buying Regarding the moderating role of
customer perceived empowerment we found that it significantly moderate the
relationship between product review alternative purchase channels group buying
companies‟ services standard and purchase intention Implications recommendations
limitations and future research will be discussed at the end of study
5
1 Problem development and Objectives
11 Background of the problem
Group buying also known as collective buying offers products and services at
significantly reduced prices on the condition that a minimum number of buyers would
make the purchase Compared to traditional shopping customers can have more price
negotiation To achieve the success of group buying companies place great emphasis
on both attracting new customers and build long term relationship with customers As
group buying always entails a certain level of risk customers will bet about the
ambiguity of the future and the probable reactions of others (eg possibly reliable
vendors and the discount providers)
A consumer must determine whether they can (1) review and know the product
well (2)have alternative purchase channels (3) other third parties to ensure fair
exchange before they commit group buying (Grabner- Krauter amp Kaluscha 2003
Kim 2005 Urban 1999) Also the potential advantages of the group buying can be
attained if Service Standards is achieved for customers By adopting the concept from
Barnes and Vidgen 2003 Bressolles2006 Parasuraman Zeithaml and
Malhotra2005 Wolfinbarger and Gilly 2003 we measure service standard in four
dimension 1)Information 2) Ease of use 3) Website design and 4) Reliability
These four variables would exert certain extent of influence on purchase
intention we believe that customer perceived empowerment would moderate the
strength of these four variables influences on purchase intention Therefore we use
method of empowerment and the feeling of customers to investigate the moderating
effect it exerts on the relationship between four variables and customer perceived
empowerment
The relationship between peer influences and purchase intention had been
studied for many times before However not too many updated research on whether
6
customer perceived empowerment do exert moderating effects on them
12 Objectives of the Study
Accordingly our purposes are (1) to verify which variables would be more
influential in affecting customer‟s intention to use group buying and (2) to explore the
moderating effects of customer perceived empowerment on moderating four
independent variables
To achieve these objectives we examined consumers‟ attitudes towards the
independent variables in Hong Kong and China with the research model of the effect
of price dispersion (Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang 2006) and
integrating customer perceived empowerment as moderators in the model
Group buying is a great opportunity However the competition in group buying
market is fierce in recent year and people still remain reluctant to make purchases due
to the risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Therefore it is
essential for the companies to understand the how the variables factors affecting the
purchase intension The result from this research would be practical for them to
recognize how to attract customers to join group buying
2 Literature Review and Hypotheses
21 Definition of Purchase Intention
Purchase intention is the possibility of a consumer to buy a product (Dodds et al
1991 Schiffman amp Kanuk 2000) Consumers will follow their experience preference
and external environment to collect information evaluate alternatives and make
purchase decision (Zeithaml 1988 Dodds et al 1991 Schiffman amp Kanuk 2000
Yang 2009)The higher the purchase intention is the higher a consumer‟s willingness
is to buy the product As a consumer‟s attitude and assessment and external factors
construct consumer purchase intention it is a critical factor to predict consumer
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
5
1 Problem development and Objectives
11 Background of the problem
Group buying also known as collective buying offers products and services at
significantly reduced prices on the condition that a minimum number of buyers would
make the purchase Compared to traditional shopping customers can have more price
negotiation To achieve the success of group buying companies place great emphasis
on both attracting new customers and build long term relationship with customers As
group buying always entails a certain level of risk customers will bet about the
ambiguity of the future and the probable reactions of others (eg possibly reliable
vendors and the discount providers)
A consumer must determine whether they can (1) review and know the product
well (2)have alternative purchase channels (3) other third parties to ensure fair
exchange before they commit group buying (Grabner- Krauter amp Kaluscha 2003
Kim 2005 Urban 1999) Also the potential advantages of the group buying can be
attained if Service Standards is achieved for customers By adopting the concept from
Barnes and Vidgen 2003 Bressolles2006 Parasuraman Zeithaml and
Malhotra2005 Wolfinbarger and Gilly 2003 we measure service standard in four
dimension 1)Information 2) Ease of use 3) Website design and 4) Reliability
These four variables would exert certain extent of influence on purchase
intention we believe that customer perceived empowerment would moderate the
strength of these four variables influences on purchase intention Therefore we use
method of empowerment and the feeling of customers to investigate the moderating
effect it exerts on the relationship between four variables and customer perceived
empowerment
The relationship between peer influences and purchase intention had been
studied for many times before However not too many updated research on whether
6
customer perceived empowerment do exert moderating effects on them
12 Objectives of the Study
Accordingly our purposes are (1) to verify which variables would be more
influential in affecting customer‟s intention to use group buying and (2) to explore the
moderating effects of customer perceived empowerment on moderating four
independent variables
To achieve these objectives we examined consumers‟ attitudes towards the
independent variables in Hong Kong and China with the research model of the effect
of price dispersion (Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang 2006) and
integrating customer perceived empowerment as moderators in the model
Group buying is a great opportunity However the competition in group buying
market is fierce in recent year and people still remain reluctant to make purchases due
to the risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Therefore it is
essential for the companies to understand the how the variables factors affecting the
purchase intension The result from this research would be practical for them to
recognize how to attract customers to join group buying
2 Literature Review and Hypotheses
21 Definition of Purchase Intention
Purchase intention is the possibility of a consumer to buy a product (Dodds et al
1991 Schiffman amp Kanuk 2000) Consumers will follow their experience preference
and external environment to collect information evaluate alternatives and make
purchase decision (Zeithaml 1988 Dodds et al 1991 Schiffman amp Kanuk 2000
Yang 2009)The higher the purchase intention is the higher a consumer‟s willingness
is to buy the product As a consumer‟s attitude and assessment and external factors
construct consumer purchase intention it is a critical factor to predict consumer
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
6
customer perceived empowerment do exert moderating effects on them
12 Objectives of the Study
Accordingly our purposes are (1) to verify which variables would be more
influential in affecting customer‟s intention to use group buying and (2) to explore the
moderating effects of customer perceived empowerment on moderating four
independent variables
To achieve these objectives we examined consumers‟ attitudes towards the
independent variables in Hong Kong and China with the research model of the effect
of price dispersion (Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang 2006) and
integrating customer perceived empowerment as moderators in the model
Group buying is a great opportunity However the competition in group buying
market is fierce in recent year and people still remain reluctant to make purchases due
to the risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Therefore it is
essential for the companies to understand the how the variables factors affecting the
purchase intension The result from this research would be practical for them to
recognize how to attract customers to join group buying
2 Literature Review and Hypotheses
21 Definition of Purchase Intention
Purchase intention is the possibility of a consumer to buy a product (Dodds et al
1991 Schiffman amp Kanuk 2000) Consumers will follow their experience preference
and external environment to collect information evaluate alternatives and make
purchase decision (Zeithaml 1988 Dodds et al 1991 Schiffman amp Kanuk 2000
Yang 2009)The higher the purchase intention is the higher a consumer‟s willingness
is to buy the product As a consumer‟s attitude and assessment and external factors
construct consumer purchase intention it is a critical factor to predict consumer
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
7
behavior (Fishbein amp Ajzen 1975)
22 Factors affecting purchase Intention in group buying
There are many factors affecting purchase intention in group buying Some factors
identified by the past studies and they are peer influence and product review Some of
them are to be tested in this project and they are alternative purchase channels and
group buying companies‟ services standard In this project delivery speed and time
and customers‟ experience are the control variables and consumer perceived
empowerment is the moderator
Peer influence leads to higher levels purchase intention (Duncan Haller and Portes
1968 Manski 1993 2000 Burnkrant amp Cousineau 1975 Venkatesan 1966)
Positive product review is positively related to purchase intention on the other
hand negative product review would have negative relation with purchase
intention(Kauffman Laiamp Huang 2010)
Customer perceived empowerment in group buying would affect customers‟
intention in purchase If the customers involve more in the creation and selection of
new products originating a new democratization process they form higher levels of
purchase intention on the basis of their perceived empowerment Also they will be
likely to continue to shop in group buying vice versa
23 Research Model and Hypotheses
In this project the effects of product review alternative purchase channels peer
influence and group buying companies‟ services standard on purchase intention were
investigated The effects of product review alternative purchase channels and group
buying companies‟ services standard are grouped to be group buying characteristics
On the other hand peer influence is social influence The intensity of the effect of
these factors in affecting attitude towards using will be compared
The following figure presents the factors affecting purchase intention examined in
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
8
this study Customers‟ experience and delivery speed and time are the control
variables At the same time customer perceived empowerment is a moderator of each
independent variable
Figure 1 Factors affecting purchase intention
231 Product Review
Product information seeking often is portrayed as a critical early stage in the
consumer buying process (Shim etal 2001 Hodkinson et al 2000 Haubl and Trifts
2000 Maes et al 1999 Zellweger 1997 Moorthy et al 1997) As customers often
make decisions depend on personal memoryknowledge customer knowledge about
the product plays an important role in product purchase decision (Satish and Peter
2004)
Customer knowledge is indeed significantly correlated with customer purchase
intention depends on many valuable factors The interactive consumer models as
critical predictors of consumer behavior (Klein 1998) Consumers often evaluate and
refine their information before purchasing (Hodkinson et al 2000 Rowley 2000)
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
9
Therefore this paper hypothesizes that
H1 The favorability of product reviews positively affects consumers‟ purchase
intention in group buying
232 Alternative purchase channels
Nowadays as technology improves the number of purchase channels of
products and services rise and customers use various channels for shopping
Channel choice is positively related to the importance of shopping task (Mathwick et
al 2002 Zeithaml 1988) When consumers buy experience good (eg dress) they
tend to buy in a store but they prefer buying search good (eg CD) from online
channels Also channel choice is negatively related to customers‟ perceived risk
(Liang amp Huang 1998) and influenced by the product category (Liang amp Huang
1998)
H2 The availability of alternative purchase channels negatively affects customers‟
purchase intention in group buying
233 Peer influence
Social influence has generally been referred to as conformity and look upon as the
relatively simple act of going along with or agreeing with a visible majority (Jahoda
1959) Group pressure was effective and that individuals tended to conform to the
group norm (Venkatsan 1966 p386)
People may frequently buy products that others in their groups buy as to acquire
what they perceive as a good product especially for products he or she is unable to
evaluate completely from direct observation (Burnkrant amp Cousineau 1975
Venkatesan 1966)
H3 The level of peer influence positively affects consumers‟ purchase intention in
group buying
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
10
234 Group buying companiesrsquo services standard
Four dimensions proposed recur fairly systematically ( Barnes and Vidgen 2003
Bressolles2006 Parasuraman Zeithaml and Malhotra2005 Wolfinbarger and Gilly
2003) 1) Information quality and quantity of the information about the product or
the service 2) Ease of use how customers perceives the ease of navigation offered by
the site 3) Website design Color graphicetc 4) Reliability capacity to fulfill
promises
Purchase intention is occurred with a product service that meets the customers‟
needs wants and expectations Therefore this paper hypothesizes that
H4 The level of group buying companies‟ services standard positively affects
consumers‟ purchase intention in group buying
235 Customer perceived empowerment
Empowerment is a psychological concept in which people experience more self
determination meaning competence and impact regarding their role in the
organization(McShane 2005)
Customer perceived empowerment means customers can control of the choice set
composition know about progress cues (ie not feeling lost in the buying process)
and information about other consumers Therefore people will feel satisfied
Figure 2 the evolution of customer empowerment
Need recognitionIn
information Search
Evaluation
Purchase
Post-Purchase Behavior
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
11
2351 Moderation between Product Review and Customer Perceived
Empowerment
Comport can be used to signify the importance of service and it depend on
interpersonal skills communication empowerment knowledge sensitivity
understanding and some kind of external behavior Expert advice comparison
shopping online communities blogs testimonies develop feedback systems for
service quality is one of the way to gain empowerment When information about an
object or firm comes through the opinions or recommendations of another person
negative information may be more credible than positive information (Mizerski
1982) More empowerment more feedback the chance of having negative
information is increased and will affect the purchase intention of the customers
Therefore this paper hypothesizes that
H5a Customer perceived empowerment moderates the relationship between product
review and purchase intention Customer perceived empowerment negatively
moderates the effects of product reviews
2352 Moderation between Alternative Purchase Channels and Customer Perceived
Empowerment
People who have more perceived influence on the product design and decision
making in group buying may find more channel choices than those do not feel they
have perceived influence Then it may be more likely for those involve more effort to
choose other purchase channel rather than group buying finally
H5b Customer perceived empowerment moderates the relationship between
alternative purchase channels and purchase intention More alternative purchase
channels have stronger negative effects on purchase intention for customers who have
higher perceived empowerment
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
12
2353 Moderation between Peer Influence and Customer Perceived Empowerment
Originally peer influence has positive effect to purchase which was proven in
previous literatures Comparing with those customers having perceived empowerment
people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level On
the other hand if they have more perceived influence in the creation and selection of
new products originating a new democratization process peer comments and choices
may become more important for their purchase decision making
H5c Customer perceived empowerment moderates the relationship between peer
influence and purchase intention Higher level of peer influence has stronger positive
effects on purchase intention for customers who have higher perceived empowerment
2354 Moderation between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment
The attitudes and behaviors of contact employees will influence consumer
perception when evaluating the quality of the service delivered (Bowen and Lawler
1992) Firms will need accept to loss (some) control expect internal resistance ensure
that top management is supporting the initiative and focus on the culture not just the
technology More customer-oriented becomes more incentive to improve the service
standard as there is more interaction between company and customers Therefore this
paper hypothesizes that
H5d Customer perceived empowerment moderates the relationship between group
buying companies‟ services standard and purchase intention Higher services standard
of group buying companies has stronger positive effects on purchase intention for
customers who have higher perceived empowerment
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
13
3 Methodology
31 Subject
This study focuses on the factors affecting the purchase intention in group buying
and how customers‟ empowerment moderates the intensity of these factors toward
purchase intention The target respondents are the individuals in Hong Kong China
who have heard about group buying and who have purchased something through the
group buying in the past year Therefore the respondents should have at least some
knowledge in group buying The target respondents include both students and the
working population Both paper-based questionnaire and Internet-based questionnaire
were distributed to the Internet users in Hong Kong and China Two versions of
questionnaires English and Chinese (refer to Appendix A) were prepared A total of
242 usable questionnaires were returned by Internet-based The respondents were
asked to answer the questionnaires based on their experience in group buying
Appendix B summarizes the demographic characteristics of the respondents As
shown in the table 547 were female Almost 70 of the respondents were 20-24
years old and almost 10 of the respondents were 25-34 years old The result shows
that 769 of the respondents‟ education level attained university Most of
respondents (714) had purchased something through the group buying
32 Research design
The Statistical Package for Social Science (SPSS) 190 for Windows was used to
analyze the data Cronbach‟s Alpha was used to test the internal reliability of the scales
Cronbach‟s Alpha is an internal-consistency reliability estimation method It should
only be computed on a homogeneous set of items (or questions) If the Cronbach‟s
Alpha for the model constructs are at or above the recommended threshold of 07 the
construct are said to be reliable
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
14
Linear Regression is the study of how a dependent variable is related to two or
more independent variables Linear and Hierarchical Regression were then applied to
examine the statistical significance and the form of the main and interaction effects
which we postulated in our model
33 Questionnaire Design
A structured questionnaire was designed in both Chinese and English and consisted
of three major parts with true-false questions multiple-choice questions and 7- point
Likert scale (ranging from 1 strongly disagree to 7 strongly agree)
Prior to answering all these questions the questionnaire starts with 2 screening
questions to identify the appropriate respondents The questions are ldquoHave you heard
about group buyingrdquo and ldquoDid you have group buying experience during the past
yearrdquo Respondents who have prior experience in using group buying would be the
respondents of this study
The questionnaire was divided into six parts In general the scales of the
questionnaire are adapted and modified from previous studies There are some
wording and question formats adjustments after doing pre-test as to find appropriate
words and question styles to fit specific needs of this research and to achieve content
validity
In part 1 two trust or false questions are set to test the understanding and
experience of using group buying
In part 2 7- point Likert scale questions are set for respondents to select the
response that best indicate their perceptions on each statement about each independent
variable
Items for measuring product review were adopted and modified from Hodkinson et
al 2000 Rowley 2000 Robert E Burnkrant and Alain Cousineau 1975 and
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
15
self-constructed
For alternative purchase channels items were adopted from Mathwick et al 2002
Zeithaml 1988 Liang amp Huang 1998 and self-constructed
For peer influence items were adopted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and self-constructed
For group buying companies‟ services standard items are modified from Irem Eren
Erdogmus Mesut Cicek a 2011
In part 3 7- point Likert scale questions are set for testing whether the two
variables are controlled
For delivery speed and time items are modified from Kauffman Robert J Lai
Hsiangchu Ho Chao-Tsung 2010 and self-constructed
For customers‟ experience items are modified from Hsu et al2006
In part 4 items of the moderator customer perceived empowerment are adopted
and modified from ME Sharpe Inc2010 and self-constructed
In part 5 purchase intention is an important issue to do group buying as It would
affect customers to make transactions from group buying or not These items were
adopted from Kauffman Laiamp Huang 2010 and self-constructed
In part 6 the demographic data (including gender age and educational level) would
be collected by multiple-choice questions in the last part of the questionnaire
34 Sampling method
We conducted a set data which are collected from Hong Kong and mainland
people Since the project focuses on factors affecting purchase intention in group
buying and how customer perceived empowerment moderates the intensity of each
independent variables our targets for doing samples are individuals from Hong Kong
and Mainland China with group buying experience In our study we use convenience
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
16
sampling on an online survey (httpsasiaqualtricscom) This convenience sampling
is 224 respondents which distributed through social networks in Hong Kong and
China Respondents would be invited face-to-face or through email facebook
invitation Weibo Twitter and other web-board postings
35 Measurements
By reviewing other‟s studies and some journals scales are developed to measure
each variable Table 1(Appendix C) is a summary of all items the sources of the items
and description of the items used to measure each variable
Product Review
Product review considers peers‟ evaluation and pre-purchase search It is measured
by using four items Two of them were adapted from Robert E Burnkrant and Alain
Cousineau 1975 One of them adapted from Hodkinson et al 2000 Rowley 2000 and
the remaining was self-constructed
Alternative purchase channels
Other purchase channels besides group buying were measured by using four items
Two of them were adapted from Mathwick et al 2002 Zeithaml 1988 and Liang amp
Huang 1998 and the remaining two items are self-constructed
Peer influence
Influence between peers (eg friends) and consumers was measured by using five
items where three of them were adapted from Burnkrant amp Cousineau 1975
Venkatesan 1966 and Kauffman Laiamp Huang 2010 and two of them were
self-constructed
Group buying companiesrsquo services standard
Group buying companies‟ services standard was measured by four items and all
items were modified from Irem Eren Erdogmus Mesut Cicek a 2011
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
17
Customersrsquo experience
Customers‟ group buying experience is a control variable and it was measured by
three items Two of them were modified from Hsu et al2006 and the last one was
self-constructed
Delivery time and speed
Group buying deals‟ delivery time and speed is another control variables and it was
measured by two items One was modified from Kauffman Robert J Lai Hsiangchu
Ho Chao-Tsung 2010 and the other one was self-constructed
Customer perceived empowerment
Customer perceived empowerment is measured by using six items Five of them
were adapted from ME Sharpe Inc2010 and the rest one was self-constructed
Purchase intention
Group buying purchase intention of consumers will be measured by using four
items Two items were adapted from Kauffman Laiamp Huang 2010 and the remaining
two were self-constructed
4 Data Analysis and Result
To analyze the collected data the Statistical Package for the Social Science (SPSS)
was applied All of the data was run at 95 confidence level
41 Primary Data Analysis and Descriptive statistics
There are totally 242 respondents and 876 (212) of them have understand what is
group buying and have related experience
Appendix 72 shows the details of demographic frequencies
Analyzing the demographic data male and female ratio is similar There are
788 (167) respondents aged 20-24 104 (22) respondents aged 25-34 and 71
(15) respondents aged 15-19 877 (186) and 19 (4) are undergraduate and
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
18
postgraduate or above On the other hand only 28 (6) respondents aged 35-54 and
no one aged 54 or above only 104 (22) studied till secondary school and no one
studied till primary school or below
It showed that most customers using group buying were younger generation and
they had advanced educational level
42 Reliability Test
Table 1 summarizes the Cronbach‟s Alphas for all the scales With alphas greater
than 07 the tests demonstrated that the measures of product review alternative
purchase channels peer influence group buying companies‟ services standard
delivery speed and time consumers‟ experience consumer perceived empowerment
and purchase intention of group buying are reasonably internally consistent
Table 1 Cronbach‟s Alpha Reliability Analysis (Significant Level Alpha gt= 07)
Variables
Items Alphas
product review PW1 PW2 PW3 PW4 0937
alternative purchase channels APC1 APC2 APC3 APC4 0923
peer influence PI1 PI2 PI3 PI4 PI5 0959
group buying companies‟ services
standard
CSS1 CSS2 CSS3 CSS4 0966
delivery speed and time DST1 DST2 0976
consumers‟ experience CE1 CE2 CE3 0938
consumer perceived
empowerment
CPE1 CPE2 CPE3 CPE4 CPE5
CPE6
0988
purchase intention PUI1 PUI2 PUI3 PUI4 0947
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
19
43 Regression Analysis
Multiple Regressions was used to test the relationship between independent and
dependent variables which include product review alternative purchase channels
peer influence group buying companies‟ services standard and purchase intention of
group buying In addition the moderating effects of customer perceived
empowerment was analyzed with hierarchical regression
431 Direct effects of each independent variables
Product review alternative purchase channels peer influence group buying
companies‟ services standard were regarded as four independent variables in this
project while purchase intention was regarded as the dependent variable
Figure 2 Direct effects of the four independent variables on purchase intention of
group buying
Two stages were used to test the direct effects among independent and dependent
variables
Firstly control variables include delivery time and speed and customers‟
experience were tested in regression
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
20
Secondly purchase intention of group buying was regressed on independent
variables (including product review alternative purchase channels peer influence and
group buying companies‟ services standard) and the result was significant with p
value =0000 and change in R square =0935 All independent variables were
significant to explain the variance in purchase intention with p value less than 005
The Standardized Bata Coefficient of product review peer influence and group
buying companies‟ services standard are 1366 0484 and 0252 which mean these
three independent variables were positively related to purchase intention of group
buying The Standardized Bata Coefficient of alternative purchase channels is -0446
which means alternative purchase channels were positively related to purchase
intention of group buying
Moreover four variables explained 933 of the total variance in the dependent
variable of purchase intention of group buying with adjusted R Square=0933
Therefore there was a strong relationship between product review alternative
purchase channels peer influence group buying companies‟ services standard and
purchase intention
Referring to the Standardized Bata Coefficient the largest beta value was product
review (1366) It explained that product review had the strongest relationship towards
purchase intention of group buying On the other hand group buying companies‟
services standard beta was 0023 Although the number was smaller than the standard
of 005 it was treated as a marginally significant figure and the relationship between
group buying companies‟ services standard and purchase intention was weaker than
the other independent variables
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
21
432 The moderating effect of customer perceived empowerment
Hierarchical moderated regression analysis (HMRA) using SPSS (v 19) was used
to test the hypotheses related to the moderating effect of customer perceived
empowerment Hartmann and Moers (1999) and Irwin and McClelland (2001)
suggested Hierarchical regression requires running two regression one of them is
with the main effects only and the another one is with both main effects and the
interaction term A significant interaction effect is confirmed by the statistical
significance of the additional variance with the interaction term (Hartmann amp
Moers1999)
Besides our study created new variables to capture the moderating effect of
customer perceived empowerment by multiplying customer perceive empowerment
with each of the independent variable Figure 3 below illustrates the moderating
effects of customer empowerment on our independent variables
a Interactions between Product Review and Customer Empowerment
The result of the Table 2 regression model including the interaction between product
review and customer perceived empowerment is showed in Table 2 The change in Rsup2
was 0033 while the interaction effect of independent variable and customer
perceived empowerment was included in the model The regression model was
significant (p= 0000) The interaction effect of Product Review and Customer
Empowerment was significant (Beta= -0573 t= -5985 p= 0000) It is showed the
interaction of Product Review and Customer Perceived Empowerment was negatively
related to the purchase intention
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
22
Figure 3 the moderating effects of customer empowerment on our independent
variables
Hypothesis 5b
b Interactions between Alternative Purchase Channel and Customer Perceived
Empowerment
The result of the below regression model including the interaction between
Alternative Purchase Channel and Customer Perceived Empowerment are showed in
Table 2 The interaction effect of Customer Perceived Empowerment was significant
(Beta=-0431t= -3697 p= 000) It is showed the interaction of Alternative Purchase
Channel and Customer Perceived Empowerment was negatively related to the
purchase intention
Hypothesis 5b
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
23
c Interactions between Peer Influences and Customer Perceived Empowerment
The interaction between Peer Influences and Customer Perceived Empowerment
was added in the model the change in Rsup2 was 0033 The interaction effect of Peer
Influences and Customer Perceived Empowerment was not significant (Beta= 217 t=
1728 p= 0086) The result showed that the interaction of Peer Influences and
Customer Perceived Empowerment was positively associated with purchase intention
The results are shown in Table 2
Hypothesis 5c
d Interactions between Group Buying Companies‟ Services Standard and Customer
Perceived Empowerment
The interaction between Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was added in the model the change in Rsup2 was
0033 The interaction effect of Group Buying Companies‟ Services Standard and
Customer Perceived Empowerment was significant (Beta=0602 t= 6701 p= 0000)
The result showed that the interaction of Group Buying Companies‟ Services
Standard and Customer Perceived Empowerment was positively associated with
purchase intention The results are shown in Table 2
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
24
Hypothesis 5d
Table 2 Regression Analysis Result
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
25
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
Note for Table 2
Independent Variables
PW = Product review
APC = Alternative purchase channels
PI = Peer influence
CSS = Group buying companies‟ services standard
Dependent Variables
PUI = Purchase intention
Control Variables
DST = Delivery speed and time
CE = Customers‟ experience
Moderating effect
PW_CPE_centre = Moderating effect between product
review and purchase intention
APC_CPE_centre = Moderating effect between
alternative purchase channels and purchase intention
PI_CPE_centre = Moderating effect between peer
influence and purchase intention
CSS_CPE_centre = Moderating effect between Group
buying companies‟ services standard and purchase
intention
Moderator
CPE = Customer perceived empowerment
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
26
Table 3 Hierarchical Multiple Regression Table for Interaction Effect
Hypothesis Result
H1 The favorability of product reviews positively affects consumers‟
purchase intention in group buying
Supported
H2 The availability of alternative purchase channels negatively
affects customers‟ purchase intention in group buying
Supported
H3 The level of peer influence positively affects consumers‟
purchase intention in group buying
Supported
H4 Service Standard of the purchase positively affects customers‟
purchase intention in group buying
Supported
H5a Customer perceived empowerment negatively moderates the
effects of product reviews
Supported
H5b Customer perceived empowerment negatively moderates the
effects of Alternative Purchase Channels
Supported
H5c Customer perceived empowerment positively moderates the
effects of Peer Influences
Not
Significant
H5d Customer perceived empowerment positively moderates the
effects of Service Standard
Supported
5 Discussion of the Results and Implications
We tested a model by using Theory of Reasoned Action to test the direct effects of
product review alternative purchase channels peer influence and group buying
companies‟ services standard to purchase intention of group buying in both Hong
Kong and China
Moreover we incorporated Customer perceived empowerment as the moderator in
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
27
our project to examine how the independent variables and dependent variables would
be affected Thirdly delivery speed and time and customers‟ experience of using
group buying were treated as control variables meaning they would not affect
customers‟ purchase intention
After data analysis all the direct effects between independent and dependent
variables were supported For moderators‟ side there is one moderator out of four was
not supported in our hypothesis
51 Theoretical implications
511 Product review
The study finds that favorability Product Review positively influence purchase
intention Product Review was found to be the most significant factors that
influencing consumers‟ purchase intention directly it affects customers‟ purchase
intention at a highest level comparing with other independent variables in this model
Similarly other studies also described customer knowledge as a factor for decision
making (Rao and Monroe 1988) Consumer knowledge of a product is useful for
consumers to make their decisions effectively (Li et al 2006) This shows that
entities bdquoability to gain more positive product review in their consumers therefore is
one of the most important elements in group buying
512 Alternative purchase channels
One of our study‟s contributions is the direct effect of alternative purchase channels
to group buying purchase intention was discovered in this study Something related to
alternative purchase channels and purchase intention has been proven in previous
literatures to the best of our knowledge all these two variables have never been
tested in the same model before We discovered that more purchase channels for
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
28
customers would lower their purchase intention in group buying It is related to the
relationship of shopping task shopping risk and channel choices (details covered in
232) We discovered that when customers‟ shopping task is more important their
perceived risk would be higher Then customers would search for more purchase
channels before making decision of buying something Therefore more alternative
purchase channels would lower the purchase intention in group buying in general
case
513 Peer influence
Peer influence leads to higher levels purchase intention was proven by previous
studies (Duncan Haller and Portes 1968 Manski 1993 2000 Burnkrant amp Cousineau
1975 Venkatesan 1966) In our study the result re-confirmed that peer influence
positively influence purchase intention in group buying
Group pressure and conformity brought from peers would affect a person‟s
purchase decision Especially when products he or she is unable to evaluate
completely from direct observation people may frequently buy products that others in
their groups buy as to acquire what they perceive as a good product
514 Group buying companies‟ services standard
Through the four dimensions we used to measure group buying companies‟
services standard we found that group buying companies‟ services standard
positively influence purchase intention It means the more informative easier to
purchase from group buying more creative and attractive design and more reliable
will be more preferable Service quality and customer satisfaction is important to the
formation of consumers purchase intentions are widely recognized (cf Bitner and
Hubbert 1994 Bolton and Drew 1994 Gronroos 1993 Rust and Oliver 1994)
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
29
Therefore if group buying company can provide sufficient and high quality services
to customers they are more willing to purchase from group buying
515 Customer perceived empowerment as moderator
The main contribution of our study rests in the moderating impact of the
Customer Perceived Empowerment on the four independent variables Investigating
moderating relationships are crucial for developing marketing theory (Irwin and
McClelland 2001) To provide further insight to it we can take H5a as an example
Why does customer review become less important when one has higher perceived
empowerment The answer is simple to tell that more empowerment more feedback
the chance of having negative information is increased and will affect the purchase
intention of the customers showing a significant positive relationship
516 Moderating effect of product review
Previous studies stated that perceptions of commitment to service quality and
customer satisfaction (Boshoff 1999) Commitment is an important relationship
variable (Wilson 1995) therefore we expect in voice-to-voice encounters to
building or maintaining better relationships commitment becomes increasingly
crucial In the marketing literature WOM communication is oral person-to-person
communication between a receiver and a communicator whom the receiver perceives
as noncommercial regarding a brand a product a service or a provider (Arndt
1967) Additionally customers are more willing to have power on branding and
advertising making decision pricing and complaint Therefore the effect of product
review to purchase intention is negatively moderated by Customer Perceived
Empowerment
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
30
517 Moderating effect of alternative purchase channels
The relationship between customer perceived empowerment and purchase intention
has been proven in previous literatures (Fuchs e Schreier 2008 Fuchs Prandelli e
Schreier 2010) however the moderating effect to the relation between alternative
purchase channels and alternative purchase channels has not been tested in previous
studies As the finding showed customer perceived empowerment moderates the
relationship between alternative purchase channels and purchase intention
It means that people who have more perceived influence on the product design and
decision making in group buying want find more channel choices before making
purchase decision in group buying than those do not feel they have perceived
influence Then it may be more likely for those have higher perceived influence to
choose other purchase channel rather than group buying finally
Therefore the results we obtained from our study affirm that more alternative
purchase channels have stronger negative effects on purchase intention in group
buying for customers who have higher perceived empowerment
518 Moderating effect of peer influence
The moderating effect to the relation between peer influence and purchase intention
has not been examined in previous studies In our finding showed customer perceived
empowerment moderates the relationship between peer influence and purchase
intention
It means that if customers have more perceived influence in the creation and
selection of new products originating a new democratization process peer comments
and choices may become more important for their purchase decision making On the
other side people‟s purchase intention in group buying who do not have perceived
empowerment may be affected by their peers‟ choices or actions at a lower level
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
31
Therefore higher level of peer influence has stronger positive effects on purchase
intention for customers who have higher perceived empowerment
519 Moderating effect of group buying companies‟ services standard
Customer Perceived Empowerment increases the impact of service standard on
purchase intention It means that when the individuals using group buying depend on
services standard their purchase intention increases as they have more perceived
empowerment and vice versa Group buying companies have to accept to loss (some)
control ensure that top management is supporting the initiative focuses on the culture
not just the technology When customers have more power to make decision and
reflect opinion the service standard will be more customers oriented That means the
group buying companies‟ services standard will be improved through the power of
customers and then the effect between Group Buying Companies‟ Services Standard
and Purchase Intention also increased
6 Managerial Implications and Recommendation
Group buying is a great opportunity However competition in the market is
fierce in recent years and people still remain reluctant to make purchases due to the
risk of group buying (Yao Lei Li Ying Wang Feng-jie 2010) Through the research
we found product review is very essential to customers in group buying process
Research in marketing literature points out WOM information plays an essential role
in decision processes or recommendation As decision makers always obtain
recommendations for the purpose of reducing the uncertainty and amount of
information that must be processed to make a decision (Olshavsky and Granbois
1979) Also nowadays customers currently favor goal-directed search over browsing
more participants were satisfied with the Web site designs for the search task
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
32
Therefore group buying companies need to support both modes of information
seeking
Secondly technology becomes more popular competition between group buying
companies is fierce and customers can easy to compare services standard by switching
to other purchase channels and finding others‟ review Group buying model and
technology empower customers and it can attract more customers to join group
buying Company can use Web 20 Participative Web and Social Web to
communicate with customers Also giving customers more power and channel to
voice out their opinion and to involve in decision making is a trend nowadays
Therefore if company finds ways to efficiently and creatively use technology to
empower customers in a way that is more advantageous than competitors (Wathieu et
al 2002)
7 Limitation and Future research
It is believed that this study is meaningful to investigate the direct effects of
alternative purchase channels and purchase intention the direct effects of group
buying companies‟ services standard and purchase intention customer perceived as
moderators in affecting the relationship between the four independent variables and
purchase intention in group buying our study did encounter three limitations
Firstly only convenience sampling was used to be sampling method may have
selection bias‟ problem Simple random sampling is preferred as it can avoid the
selection bias (Malhotra 2007) Although we tried to invite people to do the
questionnaire outside Yuen Long Citistore only few people are willing to finish the
questionnaire Finally we only choose to conduct an online survey in
httpsasiaqualtricscom Although there were more than 200 people (both in Hong
Kong and Mainland China) willing to finish the questionnaire only convenience
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
33
sampling was used may bring selection bias‟ problem
Secondly the result may have limited generalizability and comparability The data
that we collect by using convenience sampling from Hong Kong and China‟s
respondents are mainly from university graduates students in these two regions This
will create the lacks of generalizability and comparability of data because they may
not be the representative of the general population of group buying users
The third limitation concerning about the complexity of China‟s culture In our
project we collect both Hongkongers and Chinese response However as China is a
huge country having variety kinds of social practices and customs also there is
culture difference between Hong Kong and China there are many others factors other
than the four independent variables in this study affecting the result
In the future something can be used to improve the research finding quality Firstly
other than convenience sampling simple sampling method should also be used to
higher data‟s generalizability and comparability Also future study should larger the
respondents number This is because it can release the problem of selection bias
Thirdly as Hong Kong and China‟s cultures have differences they may be treated as
two independent groups Therefore two independent groups can be set up for
comparing the result and leads to a more accurate finding Finally more control
variables and independent variables can be added to the mode making the model to
reflect the real world‟s situation accurately
8 Conclusion
Our study proposed and tested a model of product review alternative purchase
channels peer influence and group buying companies‟ services standard which
always come into customers‟ consideration when deciding whether to buy products
services from group buying in both Hong Kong and China
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
34
The result reaffirms that the positive relationship of product review peer influence
and purchase intention in group buying It is discovered that product review has
largest direct effect to purchase intention comparing with the other three independent
variables meaning that group buying companies should put more concern about
products services‟ comments Therefore suggestion was given in our study so that
more could be done to improve the current situation in order to boost sales of group
buying companies
Additionally one of our study‟s contributions is that we discover the direct
relationship of alternative purchase channels group buying companies‟ services
standard and group buying purchase intention For alternative purchase channels
more purchase channels for customers would lower their purchase intention in group
buying We discovered that the higher importance the shopping task is more purchase
channels would be find before making purchase decision as customers want to lower
their shopping risk This would bring negative effect to their business model
Improving group buying companies‟ services standard would be one of the
suggestions Although group buying companies‟ services standard is marginally
significant independent variables improving the services provided would higher
customers‟ confidence of group buying at a certain level
Moreover our study contributes most in testing the moderating effects of customer
perceived empowerment influencing the four independent variables to purchase
intention in both Hong Kong and China The hierarchical multiple regressions proved
that customer perceived empowerment will not have significant moderating effect to
the relationship between peer influence and purchase intention More importantly it
was found that there are significant interactive effects of the relations of the other
three independent variables to purchase intention Customer perceived empowerment
moderates the positive relationship between group buying companies‟ services
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
35
standard it moderates the negative relationship between alternative purchase channels
and purchase intention it weakens the positive relationship between product review
and purchase intention It is believed that these results can help group buying
companies and products services providers in Hong Kong and China to identify areas
on that they should put more focus on To generalize the project future studies should
adopt a more extensive approach when collecting data in order to increase the
generalizability
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
36
9 Reference 1 Bernoff and Li (2008) laquoHarnessing the Power of the Oh-So-Social Webraquo MIT Sloan
Management Review 49 (3) 36-42
2 Arjan Burgers Ko de Ruyter Cherie Keen and Sandra Streukens Customer expectation
dimensions of voice-to-voice service encounters a scale-development study Customer
expectation dimensions
3 Bacharach SB and Lawler E Power and Politics in Organizations San Francisco
Jossey-Bass 1980
4 Robert E Burnkrant and Alain Cousineau ldquoInformational and Normative Social Influence in
Buyer Behaviorrdquo The Journal of Consumer Research Vol 2 No 3 (Dec 1975) pp 206-215
5 Yubo Chen Scott Fay Oi Wang ldquoMarketing Implications of Online Consumer Product Reviewsrdquo
February 2003
6 Patrali Chatterjee (2001) ONLINE REVIEWS DO CONSUMERS USE THEM in Advances
in Consumer Research Volume 28 eds Mary C Gilly and Joan Meyers-Levy Valdosta GA
Association for Consumer Research Pages 129-133
7 Chen Jian Chen Xilong Kauffman Robert J(2009) ldquoShould we collude Analyzing the benefits
of bidder cooperation in online group-buying auctionsrdquo ELECTRONIC COMMERCE
RESEARCH AND APPLICATIONS 卷 8 期 4 页 191-202
8 Brian Detlor Susan Sproule Chris Gupta ldquoPRE-PURCHASE ONLINE INFORMATION
SEEKING SEARCH VERSUS BROWSE‟ Journal of Electronic Commerce Research VOL 4
NO 2 2003
9 Irem Eren Erdogmus Mesut Cicek a(2011) ldquoOnline Group Buying What Is There For The
Consumersrdquo Procedia Social And Behavioral Sciences 24(2011)308-316
(httpwenkubaiducomview49f8cc373968011ca30091cahtml)
10 Johann Fuumlller Hans Muumlhlbacher Kurt Matzler and Gregor Jawecki ldquoConsumer Empowerment
Through Internet-Based Co-creationrdquo Journal of Management Information Systems Winter
2009ndash10 Vol 26 No 3 pp 71ndash102
11 Bressolles G Durrieu F Impact of e-Service Quality on Satisfaction and Loyalty Intention
different Buyes and Visitorsrdquo BEM Management School
12 Greacutegory Bressolles Franccedilois Durrieu ldquoService quality customer value and satisfaction
relationship revisited for online wine websites ldquo 6th AWBR International Conference
Bordeaux Management School 9-10 June 2011
13 Huang-Chi Lin Robert J Kauffman and Hsiangchu Lai (2010) ldquoConsumer adoption of
group-buying auctions an experimental studyrdquo Information Technology Management DOI
101007s10799-010-0068-z
14 Jian Chena Robert J Kauffmanb Yunhui Liuc Xiping Songd Special Issue ldquoTheoretical and
Empirical Advances in Electronic Auction Researchrdquo Electronic Commerce Research and
Applications Volume 9 Issue 2 MarchndashApril 2010 Pages 126ndash147
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
37
15 Jing Xiaoqing Xie Jinhong (2011)ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo MANAGEMENT SCIENCE 卷 57 期 8 页
16 Kauffman Robert J Lai Hsiangchu Ho Chao-Tsung (2010)ldquoIncentive mechanisms fairness and
participation in online group-buying auctionsrdquo ELECTRONIC COMMERCE RESEARCH AND
APPLICATIONS 卷 9 期 3 特刊 SI 页 249-262
17 Kauffman Robert J Hsiangchu Lai Huang-Chi Lin (2010) ldquoConsumer Adoption of
Group-Buying Auctions An Experimental Studyrdquo Information Technology Management 11
191-211
18 Kauffman Robert J Hsiangchu Lai and Chao-Tsung Ho (2010) ldquoIncentive Mechanisms
Fairness and Participation in Online Group-Buying Auctionsrdquo Electronic Commerce Research
and Application 9 249-262
19 Jing Xiaoqing and Jinhong Xie (2011) ldquoGroup Buying A New Mechanism for Selling Through
Social Interactionsrdquo Management Science 57 (8) 1354-1372
20 Muhammad Asif Khan ldquoAn Empirical Study of Automated Teller Machine Service Quality and
Customer Satisfaction in Pakistani Banksrdquo European Journal of Social Sciences ndash Volume 13
Number 3 (2010)
21 Hsiangchu Lai Her-Sen Doong Chen-Yuan Yang ldquo The Effect of Price Disersion in an e-Market
on Consumers‟ intentions to Join Group Buyingrdquo 39th
Hawaii International Conference on
System Sciences2006
22 Anand K and Aron R (2003) ldquoGroup-buying On The Web A Comparison of Price Discovery
Mechanismsrdquo Management Science 49(11) 1546ndash1562
23 Ms PMcIver Dr SLuxton and Dr SSands ldquoMultichannel Shopping The Relationship between
Search and Purchase Channel Choicerdquo ANZMAC 2009
24 Gerard Prendergast David Ko Siu Yin V Yuen ldquoOnline word of mouth and consumer purchase
intentionsrdquo
25 Stephen P (Steve) Czerniak ldquoEarned Empowermentrdquo Project Management Institute March 12
2007
26 Mitchell P(2002) ldquoInternet-enabled Group Purchasing Get A Buy With A Little Help From
Your Friendsrdquo Technical Report AMR Research Boston MA 2002
27 Marco Di Dio Roccazzella ldquoThe increasing cutomer empowerment in high Aesthetic and creative
impact industriesrdquo Value Lab 2011
(httpwwwmymarketingnetpublicmymarketingallegatiarticolo20VL20_20Customer
20empowerment_da20allegare20come20pdf20ENGpdf)
28 Sylvain Senecal ldquoA Major E-CommerceTrend Customer Empowermentrdquo HEDMontreal
29 John Strand Michael L Rothschild and John R Nevin ldquoPlace and channels of distributionrdquo
ISM Conference Proceedings SMQ VOL X NO 3ndash4 FALLndashWINTER 2004
30 Rashid Shafiq Irfan Raza Muhammad Zia-ur-Rehman ldquoAnalysis of the factors affecting
customers‟ purchase intention The mediating role of perceived valuerdquo African Journal of
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
38
Business Management Vol 5(26) pp 10577-10585 28 October 2011
31 Voltaire ldquoCustomer Service and Satisfactionrdquo
32 M Venkatesan ldquoExperimental Study of Consumer Behavior Conformity and Independencerdquo
Journal of Marketing Research Vol 3 No 4 (Nov 1966) pp 384-387
33 Woo Gon Kim Xiaojing Ma Dong Jin Kim ldquoDeterminants of Chinese hotel customers‟
e-satisfaction and purchase intentionsrdquo Tourism Management 2006
34 Yujie Wei Detmar W Straub Amit Poddar ldquoThe power of many an assessment of managing
internet group purchasingrdquo Journal of Electronic Commerce Research VOL 12 NO 1 2011
35 Yao Lei Li Ying Wang Feng-jie ldquoResearch on Trust of Group- buying in E-commerce Based on
Game-theoryrdquo East China Economic Management Vol24 No03 Mar 2010
36 Young-Hyuck Joo and Michael Hyung-Jin Park ldquoInformation search and purchase channel choice
across in-home shopping retail formatsrdquo Academy of Marketing Studies Journal July 2008
(httpfindarticlescomparticlesmi_hb6167is_2_12ai_n32103627tag=contentcol1)
37 Yen Benjamin (2009) ldquoTug of War Between The Retailers and Consumers The Phenomenon of
Group Purchase in Chinardquo The 9th International Conference on Electronic Business Macau
November 30-December 4
38 Zero2ipo Research Group ldquo2011 年中國團購市場投資研究報告rdquo
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
39
10 Appendix
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
40
101 Appendix A
Questionnaire sample
(Chinese Version and English Version)
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
41
有關團購之意向調查
本人是香港浸會大學工商管理(榮譽)學士 中國商貿學三年級的學生現正進行
一項有關顧客對團購的意向調查希望閣下能抽出數分鐘的時間完成這份問卷
是次調查所得的資料只會作學術之用在此先感謝閣下的協助
第一部份 過濾問卷
1 你對團購有認識嗎 有 沒有
2 請問你過去一年內有沒有從團
購購買產品服務的經驗
有
沒有
(問卷完成感謝你的參與)
第二部份 產品評論
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
3 在團購前我會搜尋有關產品服務的資訊 1 2 3 4 5 6 7
4 在一般情況下我會依賴同輩的意見來作出選
擇
1 2 3 4 5 6 7
5 如果接收到有關產品服務的負面批評我不
會參與團購
1 2 3 4 5 6 7
6 即使沒有產品服務的有關資訊我仍會從團
體購買該產品服務
1 2 3 4 5 6 7
第三部份 其他購買途徑
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
7 在決定購買產品服務前我會搜尋不同的購
買途徑
1 2 3 4 5 6 7
8 如果我要購買一些重要的產品服務我會搜
尋不同的購買途徑
1 2 3 4 5 6 7
9 整體而言我會選擇使用團購購買產品服務
多於其他的購買途徑
1 2 3 4 5 6 7
10 如果產品服務的質量或價格是難於事先觀察
的(例如衣服)我會選擇從商店購買它
而不是從團購
1 2 3 4 5 6 7
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
42
第四部份 朋輩的影響
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
11 我的朋友也有使用團購 1 2 3 4 5 6 7
12 我的朋友支持我用團購作購物 1 2 3 4 5 6 7
13 當我不能完全從直接的觀察評估某種產品
服務我會相信我的朋友在團購中的選擇是對
的
1 2 3 4 5 6 7
14 我經常與朋友一起從團購購買產品服務 1 2 3 4 5 6 7
15 購買產品服務完全是我個人的決定 1 2 3 4 5 6 7
第五部份 團購公司的服務水平
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
16 如果團購公司能提供更多有關產品服務的資
訊我會願意使用團購購物
1 2 3 4 5 6 7
17 如果團購公司能提供更多不同產品服務的選
擇我會願意使用團購購物
1 2 3 4 5 6 7
18 如果團購公司能恰當處理投訴我會願意使用
團購購物
1 2 3 4 5 6 7
19 如果團購公司以前的交易都是可靠的話我會
願意使用團購購物
1 2 3 4 5 6 7
第六部份 購買日期及優惠期限
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
20 優惠期限日子愈遠更值得用團購購買產品
服務
1 2 3 4 5 6 7
21 離交易期限愈近愈促使我用團購購買產品
服務
1 2 3 4 5 6 7
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
43
第七部份 顧客的經驗
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
22 之前失敗的交易會影響我用團購購買產品服
務的意欲
1 2 3 4 5 6 7
23 成功的交易令我會再次使用團購 1 2 3 4 5 6 7
24 整體而言我不會經常轉換其他團購公司購買
產品服務
1 2 3 4 5 6 7
第八部份 消費者的知覺權力
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
25 我的團購的行為會影響公司日後在團購的優
惠種類
1 2 3 4 5 6 7
26 從團購的設計中我能夠明白產品的功用和優
點
1 2 3 4 5 6 7
27 團購的設計令我有所啟發 1 2 3 4 5 6 7
28 團購的設計令我更能表達自己的想法 1 2 3 4 5 6 7
29 參與團購交易我能夠投入其中 1 2 3 4 5 6 7
30 整體而言團購的設計能更令我有意欲去購買
產品
1 2 3 4 5 6 7
第九部份 購買意向
非常
不同意
不同意 有點
不同意
沒意見 有點
同意
同意 非常
同意
31 我願意再使用團購去購買產品服務 1 2 3 4 5 6 7
32 我很有可能在日後會使用團體購物 1 2 3 4 5 6 7
33 整體而言我會使用團購購買產品服務多於
從商店購買
1 2 3 4 5 6 7
34 在多種購物途徑中團購是我的首選 1 2 3 4 5 6 7
第十部份 個人資料
性別 男 女
年齡 lt15 15-19 20-24 25-34 35-44 45-54 gt54
教育程度 小學或以下 中學 大專 碩士或以上
問卷完謝謝你的參與
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
44
Questionnaire on factors affecting purchase intention in Group buying
We are Year 3 students studying Bachelor of Business Administration (Honours) in China
Business Studies in Hong Kong Baptist University We are now conducting a survey
concerning your opinion towards purchase intention in group buying Please kindly spare a
few minutes to answer the following questions The information you provide will be used for
academic purpose only Thanks for your cooperation
Part 1 Screening
1 Have you heard about
group buying
Yes No
2 Did you have group
buying experience during
the past year
Yes No
(It is the end of this questionnaire thank
you)
Part 2 Product review
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
3 I would search for different information about
the products services and the companies before
purchasing from group buying
1 2 3 4 5 6 7
4 In general I would rely on my friends‟
comments for making purchase decision
1 2 3 4 5 6 7
5 I would not buy products services from group
buying if there are negative comments about the
products services
1 2 3 4 5 6 7
6 Without information I will still purchase the
products services from group buying
1 2 3 4 5 6 7
Part 3 Alternative purchase channels
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
7 I would search for different purchase channels
before deciding to buy a product service
1 2 3 4 5 6 7
8 I would search for more purchase channels if I
buy something important
1 2 3 4 5 6 7
9 In general I would buy products from group
buying rather than from other purchase channels
1 2 3 4 5 6 7
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
45
10 If the quality or price of a productservice is
difficult to observe in advance(eg dress) I
would most likely buy it in a store rather than
from group buying
1 2 3 4 5 6 7
Part 4 Peer influence
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
11 My friends also use group buying 1 2 3 4 5 6 7
12 My friends support me to buy products services
from group buying
1 2 3 4 5 6 7
13 When I am unable to evaluate a product service
completely from direct observation I think my
friends‟ choice in group buying is good
1 2 3 4 5 6 7
14 I frequently buy products services with my
friends from group buying
1 2 3 4 5 6 7
15 I decide to buy a product service fully by
myself
1 2 3 4 5 6 7
Part 5 Group buying companiesrsquo services standard
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
16 I am willing to buy products services if group
buying companies can provide more
information about the products services
1 2 3 4 5 6 7
17 I am willing to buy products services if group
buying companies can provide more different
kinds of products services
1 2 3 4 5 6 7
18 I am willing to buy products services if group
buying companies can handle complaints well
1 2 3 4 5 6 7
19 I am willing to buy products services if the
previous deals done by group buying
companies are reliable
1 2 3 4 5 6 7
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
46
Part 6 Delivery speed and time
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
20 The longer the deadline of a coupon the
worthier for me to buy products services from
group buying
1 2 3 4 5 6 7
21 The closer the deal date the more willing for me
to buy the products services from group buying
1 2 3 4 5 6 7
Part 7 Customersrsquo experience
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
22 Failed auction before will lower my intention to
buy productsservices from group buying
1 2 3 4 5 6 7
23 Successful trading will let me repeat using group
buying
1 2 3 4 5 6 7
24 In general I do not always switch from one
group buying companies to other different group
buying companies to buy products services
1 2 3 4 5 6 7
Part 8 Consumer perceived empowerment
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
25 My buying behavior in group buying will
influence the varieties of productsservices in the
future
1 2 3 4 5 6 7
26 The design of the group buying helps me to
understand the functions and benefits of the
products services
1 2 3 4 5 6 7
27 The design of group buying helps me to get
inspiration
1 2 3 4 5 6 7
28 The design of group buying helps me to express
my ideas more
1 2 3 4 5 6 7
29 I have sense of involvement when participating
in group buying
1 2 3 4 5 6 7
30 In general the design of group buying can
encourage me to purchase products services
1 2 3 4 5 6 7
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
47
Part 9 Purchase intention
Strongly
disagree
Disagree Partly
disagree
Neutral Partly
agree
Agree Strongly
agree
31 I am willing to buy products services from
group buying again
1 2 3 4 5 6 7
32 It is very likely that I will buy products services
from group buying in the future
1 2 3 4 5 6 7
33 In general I would buy products services from
group buying rather than going to a physical
store
1 2 3 4 5 6 7
34 Group buying is my first choice of purchase
channels
1 2 3 4 5 6 7
Part 10 Personal Information
Gender M F
Age lt15 15-19 20-24 25-34 35-44 45-54 gt54
Education level Primary
School
or below
Secondary
school
Undergraduate Postgraduate
or above
End of question Thank you
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
48
102 Appendix B
Demographic Statistics
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
49
Statistics Frequencies
Statistics
Heard of group
buying
Experience of group
buying
What is your
gender What is your age
What is your
educational level
N Valid 242 242 212 212 212
Missing 0 0 30 30 30
Minimum 00 100 100 100 200
Maximum 200 200 200 600 400
1 Heard of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid 00 1 4 4 4
Yes 221 913 913 917
No 20 83 83 1000
Total 242 1000 1000
2 Experience of group buying
Frequency Percent Valid Percent Cumulative Percent
Valid Yes 212 876 876 876
No 30 124 124 1000
Total 242 1000 1000
3 What is your gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 96 397 453 453
female 116 479 547 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
50
4 What is your age
Frequency Percent Valid Percent Cumulative Percent
Valid lt15 2 8 9 9
15-19 15 62 71 80
20-24 167 690 788 868
25-34 22 91 104 972
35-44 4 17 19 991
45-54 2 8 9 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
5 What is your educational level
Frequency Percent Valid Percent Cumulative Percent
Valid Secondary school 22 91 104 104
Undergraduate 186 769 877 981
Postgraduate or above 4 17 19 1000
Total 212 876 1000
Missing System 30 124
Total 242 1000
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
51
103 Appendix C
Measurements
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
52
Table 1 Factors
Item no
Item in Questionnaire
Source
Product review PW 1 1 I would search for different
information about the products
services and the companies
before purchasing from group
buying
Hodkinson et al
2000 Rowley 2000
PW2 2 In general I would rely on
my friends‟ comments for
making purchase decision
Robert E Burnkrant
and Alain Cousineau
1975
PW3 3 I would not buy products
services from group buying if
there are negative comments
about the products services
Robert E Burnkrant
and Alain Cousineau
1975
PW 4 4 Without information I will
still purchase the products
services from group buying
Self-constructed
Alternative
purchase channels
APC1 1 I would search for different
purchase channels before
deciding to buy a product
service
Self-constructed
APC2 2 I would search for more
purchase channels if I buy
something important
Mathwick et al
2002 Zeithaml
1988
APC3 3 In general I would buy
products from group buying
rather than from other purchase
channels
Self-constructed
APC4 4 If the quality or price of a
productservice is difficult to
observe in advance (eg dress) I
would most likely buy it in a
store rather than from group
buying
Liang amp Huang
1998
Peer influence PI1 1 My friends also use group
buying
Self-constructed
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
53
PI2 2 My friends support me to buy
products services from group
buying
Self-constructed
PI3 3 When I am unable to evaluate
a product service completely
from direct observation I think
my friends‟ choice in group
buying is good
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI4 4 I frequently buy products
services with my friends from
group buying
Burnkrant amp
Cousineau 1975
Venkatesan 1966
PI5 5 I decide to buy a product
service fully by myself
Kauffman Laiamp
Huang 2010
Group buying
companies‟
services standard
CSS1 1 I am willing to buy products
services if group buying
companies can provide more
information about the products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS2 2 I am willing to buy products
services if group buying
companies can provide more
different kinds of products
services
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS3 3 I am willing to buy products
services if group buying
companies can handle
complaints well
Irem Eren
Erdogmus Mesut
Cicek a 2011
CSS4 4 I am willing to buy products
services if the previous deals
done by group buying
companies are reliable
Irem Eren
Erdogmus Mesut
Cicek a 2011
Delivery speed and
time
DST1 1 The longer the deadline of a
coupon the worthier for me to
buy products services from
group buying
Self-constructed
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
54
DST2 2 The closer the deal date the
more willing for me to buy the
products services from group
buying
Kauffman Robert J
Lai Hsiangchu Ho
Chao-Tsung 2010
Customers‟
experience
CE1 1 Failed auction before will
lower my intention to buy
productsservices from group
buying
Hsu et al2006
CE2 2 Successful trading will let me
repeat using group buying
Hsu et al2006
CE3 3 In general I do not always
switch from one group buying
companies to other different
group buying companies to buy
products services
Self-constructed
Customers‟
empowerment
CPE1 1 My buying behavior in group
buying will influence the
varieties of productsservices in
the future
ME Sharpe
Inc2010
CPE2 2 The design of the group
buying helps me to understand
the functions and benefits of the
products services
ME Sharpe
Inc2010
CPE3 3 The design of group buying
helps me to get inspiration
ME Sharpe
Inc2010
CPE4 4 The design of group buying
helps me to express my ideas
more
ME Sharpe
Inc2010
CPE5 5 I have sense of involvement
when participating in group
buying
ME Sharpe
Inc2010
CPE6 6 In general the design of
group buying can encourage me
to purchase products services
Self-constructed
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
55
Purchase intention PUI1 1 I am willing to buy products
services from group buying
again
Kauffman Laiamp
Huang 2010
PUI2 2 It is very likely that I will buy
products services from group
buying in the future
Self-constructed
PUI3 3 In general I would buy
products services from group
buying rather than going to a
physical store
Self-constructed
PUI4 4 Group buying is my first
choice of purchase channels
Kauffman Laiamp
Huang 2010
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
56
104 Appendix D
Reliability Test Result
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
57
421 Product review
Reliability Statistics
Cronbachs Alpha N of Items
937 4
422 Alternative purchase channels
Reliability Statistics
Cronbachs Alpha N of Items
923 3
423 Peer influence
Reliability Statistics
Cronbachs Alpha N of Items
959 5
424 Group buying companies
services standard
Reliability Statistics
Cronbachs Alpha N of Items
966 4
425 Delivery speed and time
Reliability Statistics
Cronbachs Alpha N of Items
976 2
426 Customers experience
Reliability Statistics
Cronbachs Alpha N of Items
938 3
427 Customer perceived
empowerment
Reliability Statistics
Cronbachs Alpha N of Items
988 6
428 Purchase intention
Reliability Statistics
Cronbachs Alpha N of Items
947 4
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
58
105 Appendix E
Regression Analysis Result
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
59
Regression
Variables EnteredRemovedb
Model Variables Entered
Variables
Removed Method
1 CE CSS CPE
DST PI PW
APC
Enter
2 PW_CPE_centre
CSS_CPE_centre
APC_CPE_centre
PI_CPE_centre
Enter
a All requested variables entered
b Dependent Variable PUI
Model Summary
Model R R Square
Adjusted R
Square
Std Error of the
Estimate
1 967a 935 933 28590
2 984b 968 966 20289
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre
CSS_CPE_centre APC_CPE_centre PI_CPE_centre
ANOVAc
Model Sum of Squares df Mean Square F Sig
1 Regression 239024 7 34146 417762 000a
Residual 16674 204 082
Total 255698 211
2 Regression 247465 11 22497 546498 000b
Residual 8233 200 041
Total 255698 211
a Predictors (Constant) CE CSS CPE DST PI PW APC
b Predictors (Constant) CE CSS CPE DST PI PW APC PW_CPE_centre CSS_CPE_centre
APC_CPE_centre PI_CPE_centre
c Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI
60
Coefficientsa
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig B Std Error Beta
1 (Constant) 665 095 7016 000
PW 1397 107 1366 13057 000
APC -500 118 -446 -3772 004
PI 405 128 484 3777 000
CPE 454 111 440 3954 000
CSS 203 110 252 2294 023
DST -011 095 -013 -119 727
CE 135 096 142 1405 162
2 (Constant) 1093 1397 108 12358 000
PW 856 091 837 9437 000
APC -296 089 263 -2949 004
PI 286 103 342 3306 000
CPE 235 085 228 2677 000
CSS 037 094 046 483 023
DST -440 079 -374 -4724 727
CE 030 080 028 350 162
PW_CPE_centre -312 052 -573 -5985 000
APC_CPE_centre -208 056 -431 -3697 000
PI_CPE_centre 131 076 217 1728 086
CSS_CPE_centre 368 055 602 6701 000
a Dependent Variable PUI