Assessing Online Repurchase Intention in a Developing Country: The Role of Perceived Value

Assessing Online Repurchase Intention in a Developing Country: The Role of Perceived Value

Frederick Pobee (University of Pecs, Hungary)
Copyright: © 2021 |Pages: 16
DOI: 10.4018/IJSDS.2021010104
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Abstract

This research investigates the factors that influence online repurchase intention in a developing country, focusing on Ghana. The study also investigates the unexplored effect of perceived value on user satisfaction and online repurchase intention. The survey method of data collection was employed. The author used the purposive technique of data collection to collect data from 504 online shoppers in two regions of Ghana. The data were analyzed using the partial least square – structural equation modeling. The findings of this study indicate that information quality, system quality, and service quality are vital drivers of consumer perceived value of products/services and consumer satisfaction. The results also confirm that perceived value significantly drives consumer satisfaction. Furthermore, the research findings suggest that consumer satisfaction and perceived value significantly influences online repurchase intention. This study extends the research on online repurchase intention, particularly within the context of a developing country.
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1. Introduction

Consumers’ behavioral intention towards online purchase has been the focus of many scholars (Ahmmadi et al., 2021; Taghikhah et al., 2021; Ariffin et al., 2018; Law et al., 2016; Wu & Chang, 2016; Shaouf et al., 2016; Lim et al., 2016; Zhang et al., 2019). The availability and easy access to the internet has caused many consumers to adopt internet purchases (e-commerce). More so, the outbreak of the covid-19 pandemic has made online purchases the viable preference to many consumers worldwide. Therefore, it is not surprising to see many researchers investigating the tendencies and heuristics that influence consumers’ online behavioral intention to adopt e-commerce (Duan et al., 2021; Matasci et al., 2021; Tang et al., 2020; Sheth, 2020; Kshetri & Jha, 2016; Muda et al., 2016; Wei et al., 2018). However, it is essential to note that an initial online purchase does not guarantee a repurchase intention from a consumer perspective. Consumers’ repurchase intention has become increasingly important for online companies. Recently published e-commerce articles (e.g., Lee and Charles, 2021; Aparico et al., 2021; Khoa et al., 2020; Lukito and Ikhsan, 2020; Mendoza, 2021) have suggested determining factors that influence repurchase intention. Lee & Charles (2021) suggested that consumer repurchase intention increases when their perception regarding online retailers’ ethics increases. According to Mendoza (2021), consumer satisfaction, perceived usefulness, and corporate image predict online consumers’ repurchase intention. Mendoza’s findings are akin to Lin & Lekhawipat (2013), who suggested that online consumer satisfaction is a significant determinant of repurchase intention. Bulut (2015) also revealed that e-satisfaction and e-loyalty significantly impact intention to repurchase in online stores. According to Bulut & Karabulut (2018), the excellent quality of electronic word of mouth (eWOM) significantly regresses online repurchase intention. Irrespective of these scholarly contributions, the perceived value dimension that affects online repurchase intention at the individual level (micro-level) has been disregarded in prior researches. The perceived value dimension of online purchases may have an unexplored effect on repurchase intention among consumers. Research by Pham et al. (2018) suggested that future researchers explore the effect of perceived value on consumers’ repurchase intention. Due to the inconsistent research and inconclusive findings on the effect of perceived value on repurchase intention, Fang et al. (2016) called for research to re-examine the role of perceived value on consumer repurchase intention. To bridge this research gap, the objective of this research is two-fold; first, explore the factors that influence online repurchase intention in a developing country with a particular focus on Ghana. Second, investigate the role of perceived value on consumer repurchase intention.

E-commerce involves using computers, smartphones, and telecommunication to facilitate buying and selling through online shopping platforms and applications. This technology is swift and removes the geographical barriers that hitherto existed between consumers and vendors. With a click, consumers can check the availability of products in an online shop, select products they need, place orders, and make payment for the ordered products. There have been significant strides to improve the availability of internet connectivity in Ghana over the past few years. As a result, e-commerce is still in its infancy stage.

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