1. the gifts, flowers and small products1. the gifts, flowers and small products

1.    
INTRODUCTION:

 The main headings or areas which will be
covered in the introduction shall be thesis background, purpose, research
questions, limitations of survey and theories. This will give the information
about consumer behavior, online shopping, consumer behavior towards online
shopping and online shopping of electronic goods in Pakistan.

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1.1                       
Background:

1.1.1 Consumer behavior:

The answers
of questions like what consumer want to purchase, how he will purchase, when he
will purchase are easy to identify and known by the sellers yet the answer to
the question that why consumer purchase is very difficult and critical to answer
as consumer behavior varies from person to person because of past experiences,
perceptions, likings, age, lifestyles etc.

Different
definitions to the consumer behavior is identified like “Consumer behavior is
the study of individuals, groups, or organizations and the processes they use
to select, secure, and dispose of products, services, experiences, or ideas to
satisfy needs and the impacts that these processes have on the consumer and
society. ”   (Kuester, 2012)

1.1.2 Ecommerce / Online Shopping:

Internet is
now has become the most feasible and time saving place to purchase the products
but still consumers in Pakistan are quite reluctant about their online
purchasing. Yet this online shopping trend is growing gradually with the
passage of time and awareness created by the employees.

“E-commerce
is benefiting from several positive trends, including the continued rollout of
broadband, increasing user comfort shopping online and the decline of certain
brick-and-mortar retailers,” (Imran Khan, 2011, P.416 ).

 

1.1.3 Consumer Behavior over
Internet:

Consumer
behavior over internet is different the more mature consumers have the ability
to judge things and are able to save the money while the teenagers just
purchase the products of their likings.

1.1.4 Online Shopping in Pakistan:

The Pakistan
is the second slowest country which has adopted the online shopping. Firstly
the gifts, flowers and small products like that were purchased from internet.
Still most of the people are reluctant to purchase the online shopping of
electronics in Pakistan than other grocery and physical products.

1.2                       
 Problem

The main
problem which focused in this thesis is to find out the online shopping
behaviors of the consumers which will be beneficial for the sellers by using
different theories and surveys. Because most of the sellers are not aware of
the consumer behavior impact of their sales because they are not aware of the
values, customs and norms of the consumers which has large impact on the sales.

1.3                       
 Research Purpose

As online
shopping trend is increasing with the passage of time and because of the
globalization concept so the basic research question will be how consumers behave while shopping online?

1.4                       
 Research Questionnaire

In the
research questionnaire, four main segments categorized as general demographics
variables, identified variables, Pakistani consumers concern in online
purchasing and post purchase behavior are highlighted.

1.5                       
Limitation

There are
many markets of online shopping but this thesis will just focus on goods and the
online consumer behavior towards purchasing of the electronic goods in
Pakistan. Because consumer behavior varies because of the different types of
the goods and products and different variables are used in order to find this
out.

1.6                       
 Structure of thesis:

This thesis
has introduction, method, and theory, analysis of the study, summary and
conclusion.

2.    
Literature Review:

In order to
find the solution of the problem we intend to use different variables on the
basis on different pas theories of the authors so theories and models are
discussed here, which are consumer mindset model in online shopping, online
buying behavior, factors predicting online shopping, goal oriented online
shopping behavior, experimental online shopping behavior and lastly factors
which are influencing online shopping behavior are discussed.

2.1  introduction to theories:

Different
theories on the consumer behavior are written in the articles of different authors
such as Expectation confirmation theory, Innovative diffusion theory,
Technology acceptance model, theory of planned behavior, theory of reasoned
action (Christy M. K. Cheung, 2003, p. 198).

Consumer
behavior varies as for offline and online shopping but there is increasing
trend is seen in the online shopping of electronics in Pakistan still this
trend in Pakistan is at quite slow pace. The reason of increase in the online
shopping of electronics in Pakistan is because the sellers are now using different
strategies and different ways to promote and motivate consumers to purchase
online electronic goods.

2.2  online shopping behavior:

Different
authors have shown different variables and characteristics of the online
shopping behavior of the consumers because it make them able to know that how
people react or behave while purchasing products online. These variables are
different as for different authors like Turban has defined a model on consumer
behavior online. In this model, electronic environment consist of three
variables such as independent variable (which is also called personal
characteristics and environment characteristics), intervening or moderating
variables ( it is under vendor’s control) and the decision making process
(effected by independent and intervening variables) (Turban, 2010, p. 183).

    
2.3 Consumer mind set model in online shopping:

This model
was given by Wurtzburg motivational psychologist. He said that consumer minds
are set by two main aspects by experimenting and by goal oriented mind set.
Goal oriented mindset have more quick responses as they decide quickly while in
experimental mindset people tend to follow their intuitions which are shaped
because of some previous happening of that person or by seeing the experience
of the other person.

 

 

2.4  Factor predicting online shopping:

The main
factors which is discussed in various thesis by many authors are lifestyle of
consumer which involves technology perspective, online skills ability to cope
with the online technology. While TAM theory explains that there are two main
variables which affect the consumer behavior and these are perceived ease of
use and perceived ease. Different theories are explained in this thesis and
different factors are also explained which has impact on the online shopping
behavior of the consumers.

2.5  Online purchase intention:

Three
different dimensions are studied or emphasized in online purchasing are Human
computer interaction (HCI), behavioral and consumerist orientations.

 

 

Online
purchase intension

Website quality

CCOS

 Content

Design

Privacy

Security

 

 

 

 

 

 

 

 

 

COMPUTER SELF EFFICACY

Delivery and
return

IT SKILLS

Tech attitude

 

 

 

 

 

 

So all the
variables are identified for the consumer behavior of online shopping of
electronic goods in the light of so many different theories. This conceptual
framework is used in order to find out the consumer intension while doing
online shopping of electronics in Pakistan.

2.5.1 Human computer interaction:

As it is self-explained
by the name of the heading this involves the attributes that how well the web
page is designed, how easy it is for consumer to use your web page or how you
make the consumer interaction effective for both of the seller and the
consumer. If the consumers are able to learn about your web page easily or if
it is easy for the consumer to understand the technology, so they will also be
able to purchase more frequently from the websites.

2.5.2: CCOS:

CCOS stands
for the customer concern in online shopping this theory explains the human
behavior and its characteristics witch will be effective in order to purchase
the product. This involves the trust of the consumer in you (seller), the
security traits which is essential for retaining the consumers because consumer
would never want to purchase from a website where there is no guarantee of
returning the product in case of flaws in the product.

2.5.3: Computer self-efficacy:

How much
information and awareness the consumers is having about the computer and the
ease to use the technology or to adopt the new technology trends in the market.
So if they will have that awareness they will be able to purchase more online
products.