What Factors Influence the Use of Electronic Commerce?: A Case in Turkey

What Factors Influence the Use of Electronic Commerce?: A Case in Turkey

Hayri Abar, Ömer Alkan
DOI: 10.4018/978-1-7998-3351-2.ch006
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Abstract

The concept of trade has emerged with the inter-business division of labor. The internet, which is a much more recent concept than trade, has begun to get closer over time. The reason why trade is to see the internet as a commercial tool lies in the fact that the internet is spread over a wide mass network. The aim of this study is to determine socio-economic and demographic factors that are effective in purchasing or ordering goods and services by internet in Turkey. It was found that the number of information equipment, income, being male, working, and education increased the probability of shopping over the internet. It was determined that household size and age decreased. Females shop for clothing and sports goods more than males. The highest correlation with the purchase of other product groups over the internet is through holiday accommodation and other travel-related transactions.
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Background

1994 is the starting date for online shopping (Ariguzo, Mallach, & White, 2006, p. 240). In 1999, the monetary value of online shopping was about $110 billion (Coppel, 2000, p. 3). E-commerce is one of the fastest growing sectors in the world. The size of the return on e-commerce in Turkey in 2019 is about 8,050 billion USD. Level of return is expected to grow by 25.4% year on year to 19,876 billion USD in 2023. In the world, the size of e-commerce returns is around 1.8 trillion USD. Level of return is expected to grow by 10.4% year on year to 2,674 trillion USD in 2023(“eCommerce,” 2019). From the beginning to the present day, shopping on the internet has increased at a high rate, and most of the shopping has started to done on the internet. This increase is expected to continue in the future and 95% of the purchases in 2040 are expected to be made via the internet (“Ecommerce Statistics for 2019,” 2019).

Key Terms in this Chapter

Household Information Technologies Usage Survey: Household Information Technology Usage Survey have been held by Turkish Statistical Institute since 2004. The main objective of the Household Information Technology Usage Survey to determine the extent of the information society in Turkey and is the production of relevant statistics.

Electronic Commerce Between Company and Consumer: It is the most known type of electronic commerce. Virtual store applications are the direct selling of goods or services to the consumer in electronic environment.

Probit Regression: It is a model used as an alternative to logistics regression. It is a model that can be used in cases where the dependent variable has two categories. Probit model is based on benefit theory and rational choice approach.

Regression: The most appropriate relationship between dependent variable(s) (Y) and independent variable(s) (X) is expressed as a mathematical function.

Multivariate Probit Regression: This is a preferred model where dependent variables (two categories) are multiple and dependent variables are interrelated.

Electronic Commerce: It is a concept that emerged with the increase of internet usage. Production, promotion, sales, insurance, distribution and payment of goods and services are carried out through computer networks.

Correlation Coefficient: The correlation coefficient (r) is a measure of the relationship between two variables and varies between -1 and +1. The correlation coefficient between the two variables is the degree of variation of these two variables together.

Electronic Commerce Between Consumer and Public Administration: We can define all kinds of tax, health and legal activities between consumer and public administration in this field.

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