MEASURING THE INFLUENCE OF CULTURAL DIMENSION ON CONSUMER BEHAVIOR TOWARDS ONLINE AUTOMOBILE PURCHASE IN PAKISTAN
Download| Volume 13 Issue 1 2017 | |
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| Author(s): |
Muhammad YahyaVana
Faryal Salman
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| Abstract | The main objective of this research was to examine the influence of Hofstede’s Cultural Dimension i.e. Power Distance, Masculinity Uncertainty Avoidance, Individualism, and Pragmatism on the consumer behavior for the online automobile pre-purchase in Pakistan, an area which was selected primarily due to its recent boom both in the online and traditional channels. Online pre-purchase was studied through its underlying stages which were identified as Perceptions, Need Recognition, and Information Search. A mixed-method approach comprising both Qualitative and Quantitative techniques was adapted to execute this research. Initially, a focus group comprising four to five executive students of SZABIST was conducted to investigate the domain of the research, which followed the administration of a comprehensive questionnaire to four hundred students from different universities in Karachi. The scales for Cultural Dimensions were reused from previous international studies whereas scales for pre-purchase stages were developed and verified via pilot data from the first fifty participants. The results indicated that Power Distance (PDI) and Uncertainty Avoidance (UAI) has a significant influence on both Perceptions and Need Recognition for the Online Automobile Purchases in Pakistan suggesting that Pakistani consumers seek a lack of special incentives and foresee a considerable risk during these twin pre-purchase stage of Online Automobile Purchase. However, for the stage Information Search of Online Automobiles pre-purchase, besides PDI and UAI the rest of the cultural dimensions i.e. Individualism (IND) and Pragmatism (PRA) which suggests that consumers prefer to gather information from family, peers, and coworkers, whereas they are motivated to seek information via most appropriate means often compromising long old traditions or rituals. Tech Savviness also seemed to have a considerable influence in all underlying stages of the pre-purchase, suggesting only those consumers are adaptable to Online Automobiles pre-purchase which are ready to adopt new technology. the findings of the study provide useful managerial implications for online marketers of high involvement goods in general and in specific to the automobiles segment. It suggests them to make provisions within their services for consumers which are high on Power Distance, Uncertainty Avoidance, Pragmatism, and Individualism to ensure better adaptability of their services to their consumers, to assure their better satisfaction and thus the success of your business. |
| Keywords | Cultural Dimensions, Online, Shopping, Consumer Behavior, Automobiles, Purchase, Pakistan. |
| Year | 2017 |
| Volume | 13 |
| Issue | 1 |
| Type | Short Report |
| Recognized by | Higher Education Commission of Pakistan, HEC | Category | "Y" | Journal Name | IBT Journal of Business Studies | Publisher Name | ILMA University | Jel Classification | M31, M15 | DOI | http://dx.doi.org/10.46745/ilma.jbs.2017.13.01.08 | ISSN no (E, Electronic) | 2409-6520 | ISSN no (P, Print) | 2416-8393 | Country | Pakistan | City | Karachi | Institution Type | University | Journal Type | Open Access | Type of Review | Double Blind Peer Reviewed | Format | Paper Link | http://ibtjbs.ilmauniversity.edu.pk/journal/jbs/13.1/8.pdf | Page | 97-108 | Reference | Case, T., Burns, O. M., and Dick, G. N. .Drivers of on-line purchasing among U.S. university students.. Proceedings of the 7th Americas Conference on Information Systems, 2001, pp. 873-878. Gong, W., Maddox, L. M. & Stump, R. L. (2012). Attitudes toward Online Shopping: A Comparison of Online Consumers in China and the US, International Journal of E Business Development (IJED), 2(1), 28-35. Ho, C., and Wu, W.(1999) .Antecedents of consumer satisfaction on the Internet: an empirical study of online shopping,. Proceedings of the 32nd Hawaii International Conference on system sciences. Kailani, M.A. & Kumar, R. (2011). “Investigating Uncertainty Avoidance and Perceived Risk for Impacting Internet Buying: A Study in Three National Culture,” International Journal of Business and Management, 6(5),76-92. Kwon, Ah KengKau (2004), “Culture’s Influence on Consumer Behaviors: Differences Among Ethnic Groups in a Multiracial Asian Country,” Advances in Consumer Research 31,366-372. Marieke de Mooij (2010): Consumer Behavior and Culture: Consequences for Global Marketing and Advertising,California Thousand Oaks, Sage. Marieke de Mooij and Hofstede (2010), “The Hofstedemodel:Applications to global branding and advertising strategy and research,”International Journal of Advertising: The Review of Marketing Communications , (29) 1 , 85–110. Mulaomerovic, E. & Trappe, C.V. (2013). The role of cultural dimensions in the acceptance of retail innovations, Management, paper presented at Knowledge & Learning International Conference, Zadar Croatia Nayeem, T. (2012). Cultural Influences on Consumer Behavior, International Journal of Business and Management; 7(21),78-91. Nielsen (2014, August 26) Southeast Asian Consumers Flock Online To Purchase Products AnD Services retrieved from http://www.nielsen.com/apac/en/insights/news/2014/southeast-asian-consumers- flock-online-to-purchase-products-and-services.html |