Wen-Chin Tsao, Ming-Tsang Hsieh and Tom M.Y. Lin
Stimulated by trends in group purchasing and online social communities, consumers are changing their shopping behavior and increasingly turning to websites for their shopping…
Abstract
Purpose
Stimulated by trends in group purchasing and online social communities, consumers are changing their shopping behavior and increasingly turning to websites for their shopping needs. The purpose of this paper is to investigate how website quality influences shopping websites to create value for the customer and promote loyalty among customers, as well as moderating effects of online shopping experience.
Design/methodology/approach
This study collected data from 275 respondents for testing against the proposed research model by means of the partial least squares (PLS) path modeling. ADANCO software was used to assess the reliability and validity of the measurement model, conduct an analysis of the goodness of model fit for the overall model, and test the hypotheses through structural modeling.
Findings
Empirical results demonstrate that system quality and electronic service quality (e-service quality) have a significant positive effect on the perceived value of consumer/seller relationship; the perceived value of the consumer/seller relationship has a significant positive effect on online loyalty; online shopping experience does not exert a moderating effect on the relationship between website quality and the perceived value of consumer/seller relationship.
Originality/value
This study applied the PLS path modeling approach using ADANCO variance-based structural equation modeling software to verify that website quality plays an important role in distinguishing a brand from other brands in e-tailing, making it an essential factor of a shopping website’s business success. This study further verified that the amount of previous online shopping experience a consumer has does not interfere with the positive influence that website quality exerts on the perceived value of the consumer/seller relationship. The above indicates that it is imperative for website managers to adopt online shopping experience of consumers as a market segmentation variable so as to enhance website quality, increase the perceived value of consumer-seller relationships, and win consumer loyalty.
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This case study is developed from secondary sources. Two types of data were used to develop this case. The statistical data are gathered from sources such as Yahoo! Finance…
Abstract
Research methodology
This case study is developed from secondary sources. Two types of data were used to develop this case. The statistical data are gathered from sources such as Yahoo! Finance, Trading Economics, Investing.com and The Central Bank of the Republic of Turkey. Reports on market developments are gathered from major news outlets such as Bloomberg, The Wall Street Journal and Reuters.
Case overview/synopsis
The year 2021 was a volatile year for the Turkish economy: it ended the year with 36% annual inflation, 44% currency devaluation, shortages of basic goods, street protests, etc. How does the Turkish currency crisis in 2021 play out in various financial markets such as the foreign exchange, bond, stock and cryptocurrency markets? This case study introduces students to Turkey’s economic crisis in 2021 and how the Turkish lira’s depreciation, home inflation and central bank policies interact to affect its various financial markets. In the bond market, a depreciated lira heightened the credit risk of Turkey’s bond issuers and effectively crippled the country’s bond market. In contrast, Turkey’s stock and cryptocurrency markets experienced a rally as Turks put their money into equities and cryptocurrencies to hedge against inflation. In international trade, the lira’s fall and the supply chain disruptions in Asia benefited Turkish exporters tremendously. In contrast, Turkish importers suffered. In the Turkish society, the impact of the currency and inflation crisis fell the hardest on ordinary folks, who saw the values of their wages and pension benefits erode. In times of hardship, socially responsible citizens helped the poor by anonymously paying for others’ unpaid bills.
Complexity academic level
Given the multicomplexity of a currency crisis, this case would be valuable for finance/economics students to understand how a country’s currency crisis and its central bank policies interact to impact its various financial markets. This case is appropriate for courses in Markets and Institutions with a global or cultural learning objective.
Learning Objectives
1. Describe how the Turkish lira’s depreciation affected its various financial markets, such as foreign exchange, bond, stock and cryptocurrency markets.2. Understand the cultural perspective on usury, how it exists in modern-day finance, and its’ role in President Recep Tayyip Erdoğan’s economic policy.3. Compare and contrast Turkey’s export and import industries and how they are being affected by the lira’s depreciation.4. Evaluate the risk exposure of foreign investors who participate in Turkey’s stock market given a depreciating lira.5. Evaluate the creditworthiness of Turkish corporations who issued dollar- or euro-denominated bonds as well as issuers of lira-denominated bonds given a depreciating lira.6. Understand the social impacts of a currency crisis and the charitable acts of socially responsible citizens.
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Ming-Tsang Lu, Shu-Kung Hu, Li-Hua Huang and Gwo-Hshiung Tzeng
The invention and use of mobile commerce (m-commerce) technology have progressed in recent years. In small to medium-sized enterprises (SMEs), the decision to implement…
Abstract
Purpose
The invention and use of mobile commerce (m-commerce) technology have progressed in recent years. In small to medium-sized enterprises (SMEs), the decision to implement business-to-business m-commerce is a multiple-criteria decision analysis problem that involves both qualitative and quantitative factors, and its evaluation may be based on imprecise information or uncertain data. Furthermore, there may be significant dependences or important feedback among different levels of criteria or alternatives. However, most conventional decision models cannot capture these complex interrelationships. The purpose of this paper is to adopt a new hybrid multiple attribute decision model (MADM) model to evaluate the implementation of business-to-business m-commerce by SMEs in Taiwan to enhance the thinking of management and improve decision gaps.
Design/methodology/approach
In this study, the authors present the use of a new hybrid MADM combined with a decision-making trial and evaluation laboratory (DEMATEL) method to construct an influential network relationship map (INRM) and find the influential weights of DANP (DEMATEL-based ANP) in criteria from the influential relationship matrix, and the modified VIKOR method using influential weights to evaluate and integrate the criteria performance in the gaps and to analyze how to reduce the gaps to evaluate the decision to implement business-to-business m-commerce by SMEs based on INRM.
Findings
The findings of using the new hybrid MADM model can efficiently and successfully be applied to the business-to-business m-commerce of SMEs to improve and reduce the performance gaps among each criterion/aspect when setting improvement strategies for achieving an aspiration level based on INRM.
Originality/value
This study achieves the following: successfully building a decision network (called an influential network relation map (INRM)) of the technological advances and implementations of business-to-business m-commerce for solving the inter-dependence and feedback of criteria/aspects in the real world problem; how changing effective solutions from existing performance of situations/alternatives into aspiration levels to fit the current competitive markets in the business-to-business m-commerce of SMEs; and efficiently shifting from ranking and selection when determining the most preferable approaches to performance improvement by modified VIKOR methods.
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Consumer-generated online product reviews (OPRs) have become a crucial source of information for consumers; however, OPRs are increasingly being incentivized. The purpose of this…
Abstract
Purpose
Consumer-generated online product reviews (OPRs) have become a crucial source of information for consumers; however, OPRs are increasingly being incentivized. The purpose of this paper is to find a method of sponsorship and disclosure that could be considered ethically sound.
Design/methodology/approach
This study adopted a quasi-experimental approach to clarifying how the method of sponsorship impacts reader perceptions of OPRs in terms of helpfulness, credibility and purchase intention. Two experiments were performed on an online platform using data from 480 participants. Hypotheses were tested using analysis of covariance.
Findings
Meaning under the premise that sponsorship information is disclosed and not withheld from the readers, Study 1 revealed that experiential sponsorship is the best sponsorship. Study 2 revealed that featuring reviewers with greater influence in the online community increases the positive influence of disclosing experiential sponsorship on OPR persuasiveness.
Originality/value
The findings in this study provide rational incentives for firms to disclose sponsorship information, i.e. demonstrate high ethical standards in marketing. This was shown to create a win-win-win situation for consumers, firms and reviewers. Managerial implications for online marketing managers are also discussed.