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1. List of Tables…………………………………………………… ii

2. Chapter 1: Introduction………………………………………… 1
.
1.1 Overview…….…………………………............................
1.2 Problem statement………………………………………..
1.3 Background, Objectives and Significance of the study…..
1.4 Outline of the Study…………………………………….
1.5 Definitions…..…………………………………………….

3. Chapter 2: Literature Review…………………………………… 3


(Note: Hypothesis(es) of the study should be developed and
formulated after the extensive literature review in the Chapter 2)
4. Chapter 3: Research Methods………………………………….. 5

3.1 Method of Data Collection…………………………………


3.2 Sampling Technique………………………………………..
3.3 Sample size……………………………………………….
3.4 Instrument of Data Collection (if applicable)……………..
3.4.1 Validity and Reliability test……………………….
3.5 Research Model developed ………………………………..
3.6 Statistical Technique……………………………………….
Chapter 1: Introduction

1.1 Overview
The incoming and quick expansion of digital technology in the last decades of the 20th century

has been described as individualism – “a contest which changes things so essentially that there is

entirely no coming back” (Prensky, 2001, p.1). In today world digital and mobile technology is

an important part of an individual’ life.

The need and expectation of consumer have changed after adaptation of technology (Thaler&
Tucker, 2013). Individuals have twisted out to be familiar to accepting data immediately and
without impediments, at whatever point and anywhere they need it (Weatherhead, 2014). The
increase of advanced innovations direct to a difference in way of life, mainly for the youth.

Internet technology has grown rapidly. The world revolve into a globalization, users from

everywhere right through the world can relate with each other efficiently. whereas in the life of

mankind it assumes that internet play a essential role, the business center had changed, the

financial matter’s structure had changed then the customer purpose had changed. The rise of

internet centered tackle in information and communication technologies (ICT) enables new sorts

of administration creative technology. ICT has similarly opened up new open doors and new

services, for example, Online cab service administrations (Uber and Careem), Online Banking

and Online Shopping. Online cab service administrations Online cab services Ride-hailing is

specifically a person who hails a car and is quickly selected and headed to their target for a time

and compensate according to distance. (Mahamad Fuad, et al., 2016)

These days, individuals are amused with the accommodation to accomplish something. Things,

for example, goods and services can be gotten before the doorstep. Substantially less exacting in

getting data. The advancement of innovation has changed the way individuals live and familiar
with each other. Due to the introduction of the Internet with broad society, it used as a part of our

day by day life. There are different parts of society that are wedged by the Internet. (Isradila &

Indrawati, 2015)

The main purpose of this research is to study independent variables; which are sensed

convenience, perceived price, perceived comfort of use and their impact on customer willing to

use dependent variable). Through this study, we will examine the relationship between these

variable.

1.2 Problem statement

Through this study we will study about the online transportation services in Pakistan.

Transport industry in Pakistan is developing and fast growing. Because of population growth,

some multinational companies came in Pakistan and supply better transportation services. Due to

deficiency of resources, Pakistan Government isn't giving satisfactory public services to its

citizen. So travellers wanted to use an app based transport system. Though this research is

conducted to shape the factors affecting consumer intention to use online cab services

1.3 Background
The entry and a quick expansion of advanced innovation in the most recent many years of

the twentieth century has been pictured as speciality – "an occasion which changes things so in a

general meaning that there is definitely no reverting"(Prensky, 2001)

Digital and especially mobile innovation has turned into an insistent piece of human life

and is intense-situated these days, in both the private and work place of present day excellence.

Acknowledgement of advanced innovation has transformed the essentials plus desires of

consumers importantly (Thaler & Tucker, 2013). Individuals have turned out to be habitual to
getting data directly and without limitations, at whatever point and wherever they require it

(Weatherhead, 2014). The spread of digital improvement quickly a difference in manner of life,

particularly for more young ages. The people born between 1980 and 2000 called “Millennials”

(Goldman Sachs, 2016), are the first that grew up with this new kind of innovation. Individuals

from this co-worker feel particularly good with various sorts of cell phones and regard them to

be "an expansion of their regular conduct" (Papp & Matulich ). The business, which was

established in 2009, has spread quickly everywhere throughout the globe and was positioned

among the 50 most deep organizations in America (Loudenback, 2015) with an expected

calculation of more than $60 billion out of 2015 (Newcomer, 2015). Uber began to change the

individuals transport industry around the world by giving luxury cars in few major cities. They

offer a mobile application based conveyance benefit with a system of private drivers that are

called as "drive-partners". The organization company wide media scope as of late because of the

worldwide achievement, and in addition an mixture of lawful question with nearby regions and

organizations. (Fleischer & Wahlin, 2016)

Objectives
The objective of this research is to study the consumer’s signification to use riding

salutation services, what factors should put impact on this. This research mainly helps ride-

hailing services providers for forthcoming strategies. They may know about the consumer’s

requirements against the services.

Significance of the study


The implication of this investigation is to show the information about consumer intention

to use online cab service services. Through this research an online transportation organization

can judge the customer's perception and it might likewise work for those individuals who unsure
to utilize these services. Companies can make more strong and deep methodologies for

forthcoming choices to improve benefits importantly more.

1.4 Outline of the study


The world becomes so fast and technology makes new improvements. To move from one

place to another for consumers to make their life so easy and accessible they introduce online cab

service. To know purpose of consumers to use online cab service, we will study the factors

which will affect the consumer’s intention. Those factors are Perceived usefulness, Perceived

ease of use, Perceived behavioral control. The framework of this paper is generally designed for

customer intention to use online cab service. The circumstance of this paper is to understand the

important factor on consumer transit decisions. The first chapter based on an overview of the

study, the study is on online cab service.The problem statement and hypothesis are formulated in

the first chapter. The second chapter is literature review which is related to theformer study on

the consumer’s intention to use online cab service. The third chapter of the study focuses on the

method of data collection, sampling size, sampling technique and statistical method used.

1.5 Definitions

Perceived usefulness:
Perceived usefulness (PU) is one of the independent constructs in the Technology

Acceptance Model (TAM). It is “the degree to which a person believes that using a particular

system would enhance his/her job performance” (Davis, 1989 )

Perceived ease of use:


According to Davis PEOU considers the point to which somebody convinced that

utilizing the specific method would be effortless (Davis, 1989).

Perceived behavioral control:

Perceived behavioral control tell about the people’s own judgment of their ability to perform a
given behavior.

Consumer Intention to Use:

Triandis defined as consumer intentions represent self-instructions to act in a specific way. It

represents the willingness to behave or wishes, desires. (Page & Howe, 1979)
Chapter 2: Literature Review

Consumer Intention To Use Online Cab Services:

Intention is a mental state that represents a commitment to carrying out an actions


in the future. Intention involves mental activities such as planning and forethought
Folk psychology explains human behavior on the basis of mental states, including
beliefs, desires and intentions.
Basically it is defined as a person’s commitment, plan or decision to carry out an
action or achieve a goal (Eagly and Chaiken)
.
All these usages more generally fal uner the label volition. Psychologist Ajzen
(1991, p. 181) conceives of intentions rather broadly as “indicators of how hard
people are willing to try, of how much of an effort they are planning to exert.”
The open source Software Development Kits (SDK’s) have open entry in the
market for young developers and engineers. For them to develop various mobile
apps and start business from small to large scales. In one way or another, those
application are proven to be major source of income and provide good quality
services with less to invest a customer.
A few of the many examples are ride-hailing apps like Uber.

Ho Uber Works:

Uber is basically an application that’s been offered on App store, Play store. Which
basically connects the Customer to a global network of private drivers. Drivers,
just have the download the app from store and become a driver.
The register with Uber, users have to download the mobile application and enter
their name as well as their Credit card details.
For the Customer they too have download the application and register their
account. Then can locate the closet driver via GPS and request a ride by setting a
pick up location. The current location as well as estimated arrival of the booked
Uber driver can be tracked via GPS.
The Mobile application provides the details including, name, photo and rating of
driver also, the details of the model of car and the license plate as well.
Furthermore, the Customer, can call the driver directly before the ride and get the
information regarding where the driver is and explain the route as well.
Uber application also offers a far estimate function to approximate how much the
trip will cost. It’s up to the customer’s choice on what method he wishes to choose.
Customer can either go for Cash or with paying through Credit card.
Customer can also, share their tracking information with the folks at home or their
friends and loved ones as per their choice. And the other person can track them
down and know what exactly the location is and where is the car being stopped at
that particular moment. Not just that the details of the car and driver can be shared
too.
The rate is prorated, according to the type of car, the protocol of the car the rate/
amount gets generated. In different cities, Uber offers different rides for different preferences
from “normal” economy cars, to luxury vehicles, as well as cars for special needs, for example,
the possibility to ride with a wheelchair.

Perceived Usefulness:

Perceived usefulness defines to what degree individuals believe that their performance is
enhanced by the usage of a specific technology; Davis' research focuses specifically on job
performance (Davis, 1989). In the case of Uber, perceived usefulness could include job
performance, since Uber can serve as a mode of transport, both to and within work, but the
construct could also be related to performance outside the general scheme of work, for example,
general performance in life. Examples for increased performance via the Uber services could be
that individuals are more relaxed after a pleasant ride with a Uber driver whom they know
through the application because of the data they have about the driver rather then a local taxi
ride, there is increased flexibility, as well as more accurate planning that can enhance the
personal performance. Furthermore, the Uber services offers an individuals to work in the car
during their ride, which enhances the overall performance of passengers. The fact that a customer
saves money by using Uber strengthens their financial performance.
Perceived Ease of Use:

Perceived ease of use describes to what degree a person believes that how effortless using a
particular technology would be for them. According to (Davis, 1989), this construct can lead
consumers to prefer a specific technology over another, all other factors being equal. Studies
supported a positive relationship between perceived ease of use and perceived usefulness,
(Erasmus et al., 2015) where a technology that is effortless will also be perceived as more useful.
In the case of Uber, perceived ease of use relates to both, the use of the Uber mobile application
as well as the Uber services in general. Perceived ease of use might be a positive factor for
individuals who have good knowledge about the technology rather than the people with little or
no knowledge about the usage of mobile application.

Perceived Behavioral Control:

Perceived behavioural control (PBC) is an “individual’s perception of internal and external


constraints on behaviour” (Taylor & Todd, 1995, p. 149), describing the perceived ease or
difficulty of performing a certain behaviour. PBC is determined by control beliefs that are
important to be present and the lack of resources and opportunities which are necessary to
perform a certain behaviour in a specific situation (Ajzen, 1991). These control beliefs are often
based on the experiences which people have faced before about the behavior and also include the
other factors that affect the perceived difficulty of performing a specific behavior in positive or
negative ay (Ajzen, 1991). Ajzen (1991) states “the more resources and opportunities individuals
believe they produce, and the fewer difficulties or restriction they expect, the greater should be
their perceived behavioural control over the behaviour” (p. 196).

Important factors like money, time, personal skills, and dependence on others are the control
beliefs as well as perceived power of the control factor under consideration (Ajzen, 1985). In
various studies, PBC has shown to vary between situations and actions (Ajzen, 1991). The
present view of PBC is most compatible with Banduras' (1977; 1982) concept of perceived self-
efficacy which says that how in prospective situations one can act well to deal with it” (Bandura,
1982, p.122). These investigations have shown that the ability to perform in a certain way is
strongly influenced by the confidence of an individual’ behavior (cf. 2.4.3). Under certain
conditions,PBC can Theoretical Frame of Reference 15 be used as a direct predictor for actual
behavioural control (Ajzen, 1991). This may only be realistic with the sufficient information
about the behaviour, the required resources, no change in circumstances, and no other new
elements enter the situation (Ajzen, 1991). If one of these factors changes, PBC will not be a
promising predictor for actual behaviour.

In the case of Uber, the availability of the Uber services as well as the resources which are
required in the form of a smartphone, a credit card with a sufficient amount of credit, or the skills
to use the mobile application, can influence the PBC. A person that does not have the
opportunity to use the Uber services, nor creates the resources, is expected to have a negative
intention to use the services.

Hypothesis:

H1: Perceived usefulness has significant impact on consumer intention to use Online Cab

Service.

H2: Perceived ease of use has significant impact on consumer intention to use Online Cab

Service.

H3: Perceived behavioral control has significant impact on consumer intention to use Online

Cab Service.
` MODEL

Perceived
usefulness

CONSUMER INTENTION
Perceived Ease TO USE
of use

Perceived
Behavioral
Control
CHAPTER: 3

METHODOLOGY

3.1 Method of Data Collection

Primary Data was gathered by using survey method to the general public by online

questionnaire. Online questionnaire was fill out by the public which were uploaded on Google

docs. In this study, the general public was the sources of information that used a online cab

services. Email and social websites were the source of approaching towards the respondents of

this research.

3.2 Sampling Technique

On a convenience basis, data were collected through online and the questionnaire was uploaded

on Google forms.

3.3 Sample size

The range of respondents for this study was 250 general Public, the sample size of the

population was demonstrated so results can be universal.

3.4 Instrument of Data Collection (if applicable)

Questionnaire was used to gathered data. Questionnaire or Link was sent to the general

public which was placed on Google docs for the general public.

3.5 Research Model developed


Perceived usefulness

Perceived Behavioral Consumer intention to use

Perceived ease of use

3.6 Statistical Technique

MLR- Multiple Linear Regression technique was used in this study to find out cause and

effect of an independent variable on a dependent variable.

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