Determinants of Internet Buying Behavior in India

DOI 10.14707/ajbr.110011

Ruchi Nayyar
IILM Institute of Management Education

S. L Gupta
Birla Institute of Technology (Deemed Univ.)

Internet penetration in India has become more widespread on account of easy payment options, reduced hardware prices, faster and cost effective internet communication, and reliable technology. Internet applications such as emailing, e-banking, e-gaming, travel and entertainment bookings have become part and parcel of the growing tech-savvy population in India. Although new business models focusing on e-retailing are providing exciting services to satisfy e-consumers’ demands, the Indian internet retail market is far behind its expected potential. It therefore becomes imperative to assess the important determinants of internet buying behavior.

There has been a very limited research to study the internet shopping behavior and factors responsible for determining online purchase intentions in India. The aim of this research is to provide a view of the various demographic and psychographic factors influencing consumer’s willingness to purchase online. A new model based on Technology Acceptance Model (TAM) has been developed for the purpose of this research which incorporates consumer demographic factors and Perceived risk along with other TAM variables to explain the consumer acceptance of online shopping. The findings are expected to hold value for internet retailers as these are the simplest segmenting descriptors which will guide them in generating more effective business strategies for their organizations. Overall, this study seeks to provide productive insights into the factors determining the prospects of internet retailing in the country.

Keywords:   Internet retailing, Technology Adaptation Model, B2C Ecommerce, demography, Perceived risk


Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.