Cross-border Online Purchase Intent : An Investigation of CSR-conscious Young Adults

Abstract: Date:                             04 June 2018 Level:                            Master Thesis in International Marketing, 15 ECTS Institution:                     School of Business, Society and Engineering, Mälardalen University Authors:                       Anastasiadou, Elena                       Meier, Philip                                       (94/05/25)                            (88/03/11) Title:                              Cross-border Online Purchase Intent: An Investigation of CSR-conscious Young Adults Supervisor:                   Emilia Rovira Keywords:                   Online purchase intent, international online vendors, corporate                                      social responsibility, technology acceptance model, Ikea Research Question:     What factors affect the online purchase intent of CSR-conscious young adults buying from IOVs and how? Purpose:                       With the worldwide increasing access and usage of the Internet, cross-border shopping has emerged as an online trend, especially amongst young adults. Simultaneously, CSR-consciousness has spread rapidly around the globe. Consequently, it is this study’s purpose to gain a deeper understanding of factors influencing CSR-conscious young adults’ cross-border online purchase intent. Method:                         For the sake of reaching a deeper understanding of factors influencing online purchase intent this study applies qualitative research methods. Primary empirical data is collected via focus group interviews. In order to introduce a relatable online shopping scenario to the interviewees, the investigators present the interviewees with a case company during focus group sessions. Ikea’s online store is chosen as a case, since Ikea is a well-known IOV engaging in CSR practices. Lastly, the empirical findings are assessed by doing a thematic analysis. Conclusion:                  The conceptual model (see Figure 3. OPIM) proves to be suitable for exploring cross-border online purchase intent of CSR-conscious young adults, as each element appears to play a vital role in understanding influences on behavioural intention to purchase products or services online. With the help of the OPIM, several contributions could be made in this particular field of research. Firstly, this study uncovered a relationship between company size and CSR-conscious young adults’ trust, as part of their perceived quality. The relation is negative when investigating at the trust towards CSR promises but positive when looking at trust towards payment procedures. Secondly, non-monetary sacrifices, stemming from IOVs’ intangible nature, have a strong negative impact on the behavioural intention to purchase goods and services online, while comparing it to physical store counterparts. Thirdly, the investigators discovered how convenience and flexibility concerns lower potential customers’ perceived usefulness of IOVs. Fourthly, IOVs need to positively influence subjective norms and tailor online loyalty programs to increase potential customers’ commitment to purchase their products and services online. Lastly, this study finds that the level of satisfaction with a given online purchase is part of a mental re-evaluation process that directly influences potential future purchases.   Abbreviations:              B2B:             Business to Business Relationship                                  B2C:             Business to Consumer Relationship                                      CSR:                       Corporate Social Responsibility                                      IOV:             International Online Vendor                                      IS:                Information Systems                                       IT:                 Information Technology             OPIM: Online Purchase Intent Model            TAM:               Technology Acceptance Model