Republic of the Philippines

Department of Education
Division of Lapu-Lapu City
Science & Technology Education Center
Science & Technology Senior High School

The Influence of Online Shopping Experience on Risk Perceptions towards Purchase Intention
amidst the Pandemic

A Research Paper Presented

To the Faculty of
SCIENCE AND TECHNOLOGY EDUCATION CENTER
Science Senior High School
Basak, Lapu-Lapu City

In Partial Fulfillment of the

Requirements for Grade 11

Trisha Louise S. Arado

Irene Shay Katherine O. Arong
Atasha Nicole G. Bahande
Arianne Mae D. Bompat
Enzyllyn S. Cabo
Necole A. Carulasan
Sherrie Lou M. Gayoba
Dennise Donna S. Gilig
Rovilyn M. Lopez
Vianca C. Lucero
Kyla S. Repolidon
Dollie Prudence B. Yap
May 2021
 The Problem and Its Scope

Rationale of the Study

Consumers' perceived risk has been identified as a critical factor in their decision-making process

when shopping online. This research study will recognize the influence of online shopping experiences on

risk perceptions that will lead to purchase intention between the two generations, Generation X and Z.

With the prevalence of CoVid-19 in the country, generations in the country embraced online shopping as

a choice due to restrictions. The pandemic is also a factor in the experiences of the generation. The study

will help perceive the risk factors and how the risk perceptions lead to both generations' purchase

intention concerning online shopping. By recognizing the risk factors and comparing the perceptions of

the Generation X and Generation Z that leads to their purchase intentions amidst pandemic, the sellers can

improve their strategies to their target consumer either in Generation X or Generation Z.

The past study has recognized the impact of the online shopping experiences on risk perceptions

and online purchase intention in the matter of the product category in the perceptions. It investigates the

relationship of the online shopping experiences on risk perceptions of the consumers. The category of the

product also matters in the online shopping intentions. The study determined the risks in online shopping,

namely product risk, financial risk, and privacy risk. It also shows that when shopping online for non-

digital items, shoppers perceive less product, financial, and privacy risks that previous buying experience

via a given shopping channel is negatively linked to perceived risks associated with the potential purchase

in that channel.

The previous study could not have broad respondents as the study used the student population in

collecting data. The proposed topic will be able to gather responses in two different generations, namely,

Generation X and Generation Z. It will be comparing the data and the different perceptions of both

generations.
 The researchers proposed topic will determine the different experiences on risk perceptions of

Generation X and Generation Z and compare the results and how their experiences lead to the online

shopping intention amidst the pandemic. Thus, this study covers the people who belong in Generation X

and Generation Z in the City of Lapu-Lapu.

Accountancy Business and Management is an academic strand that enables you to understand

better the fundamental components that comprise accounting and business administration in the

Philippines. As an ABM student, you will be dealing with many transactions that engage in online

purchases and the market to run the risk of being ineffective in operating the company. These studies

have all made significant contributions to our understanding of the dynamics of the online shopping field,

for us developed to provide with the requisite resources. Therefore, in this study, it will analyze the

influence of customer experience among Generation X and Z perceptions of online shopping risks and

how each form of risk perception affects online purchasing intentions. It intends to explore the consumer's

perception of online shopping. As an ABM student, the study has significant managerial implications; it

assures consumers about the value of consumers' risk perceptions to implement appropriate risk-reduction

strategies in shopping online.

The researchers seek the perceptions of Generation X and Z regarding the risks of online

shopping amidst the pandemic. The researchers also wanted to know the highest chance of dramatically

influencing both generations to their intentions and perceptions of online shopping. The respondents will

be 60 in total, 30 respondents for Generation X and 30 respondents for Generation Z. The researchers will

get respondents from Lapu-Lapu City.

Statement of the Problem

This research study aims to determine the influence of online shopping experiences on risk

perceptions towards purchasing intentions among generations X and Y during pandemic.

To answer the specific questions, the following are being raised:

1. What is the profile of the respondents in terms of age?

2. What is the level of risk perception of the respondents in terms of:

2.1 Product risk;

2.2 Time risk;

2.3 Delivery risk; and

2.4 Information security risk?

3. What is the level of purchase intention of the respondents?

4. Is there a significant difference in the purchase intention between Generation X and Z?

5. Is there a significant difference in the risk perception between Generation X and Z?

6. Is there a significant relationship between risk perception and purchase intention?

7. Based on the findings, what recommendations can be drawn?

Null Hypothesis

H 01 : There is no significant difference in the purchase intention between Generation X and Z.

H 02 : There is no significant difference in the rick perception between Generation X and Z.

H 03 : There is no significant relationship between risk perception and purchase intention.

Alternative Hypothesis

H 01 : There is a significant difference in the purchase intention between Generation X and Z.

H 02 : There is a significant difference in the rick perception between Generation X and Z.

H 03 : There is a significant relationship between risk perception and purchase intention.

 Methodology

Research Design

This study uses a methodological method known as descriptive correlational research design.

Since an action or event has occurred, the aim of this study is to discover correlations between

independent and dependent variables. Correlational analysis is a research method that involves comparing

two variables in order to establish a statistically relevant relationship between them. This is used to

categorize variables that are linked in such a way that a change in one triggers a change in the other. This

research is classified as descriptive research that employs correlation techniques. In this study, the

correlation method is used to examine the association between the variables. According to Creswell,

correlational research designs are used by researchers to describe and measure the degree of relationship

between two or more variables. The objective in this study is to see whether the independent or dependent

variable has an impact on the result when comparing two or more groups of people. This was done to

establish a relationship between generation X and Z, two closely related entities, and how one affects the

other, as well as what improvements are progressively observed in terms of the impact of online shopping

experience on risk perceptions that lead to buying intention. This quantitative approach is used to attribute

significance to natural relationships, and it requires at least two different groups to participate in order to

be accurate. In this sense, the purpose of this study is to correlate generations in order to see how online

shopping experiences influence people's expectations of specific types of risks associated with online

shopping and how those perceptions influence people's online purchasing intentions in terms of the

following indicators: (1) The influence of online shopping experiences on product, financial, and privacy

risks (2) Customers' buying intentions are influenced by their risk perception as a result of their online

purchasing experience. In this quantitative testing approach, the researchers use statistical analysis

techniques to compare two or more variables. When variables first emerge in their foundation set-up,

patterns, correlations, and trends are thought. The impact of one of these variables on the other, as well as

how this influences the relationship between the two variables, is observed.
Research Environment

This study is given to people who are born in generation z and generation x that are settled or

located within Lapu-Lapu City in the region VII of the Philippines and known as part of Central Visayas.

The Lapu-Lapu City is a highly urbanized city that has 30 barangays and has a population of 980,070.

The city has a land area of 58.10 square kilometers or 22.43 square miles.  This city is not only one of the

three known urbanized cities in Visayas, but also the home to a very rich history and culture.

Figure 1 Map of Lapu-Lapu City

 
Research Participants

The researcher utilizes the convenient and purposive sampling technique in selecting the key

participants of the study. It is used to construct samples based on accessibility, willingness to participate

in the survey, availability at a particular time slot, or any other practical criteria of a specific feature. This

study will have 30 participants from Generation X who has online shopping experience and another 30

participants from Generation Z. This method would help facilitate in gathering information of numerous

possible participants that can have the opportunity to respond and answer our survey. In this method, the

following criteria will be followed; 1.) Age must be from 41-56 for Generation X, and for Generation Z

must be from 18-24 years old, 2.) Have online shopping experiences during the pandemic.

Research Instruments

A questionnaire will be used as the data-gathering instrument for this study the researchers

proceeded to gather data using the Likert scale, a psychometric tool used in terms of educational research.

A standard Likert scale question will ask the respondents whether they strongly agree, agree, undecided,

disagree, or strongly disagree with the given statements. The data gathered are ordinal which indicates

they are to be put in an inherent order wherein one cannot presume that the respondent means that the

difference between disagreeing and strongly disagreeing is the same as the difference between agreeing

and undecided (Mogey 1999). The instrument is granted authorization to garner valid responses from

selected respondents belonging in Generations Z and X. The standards of a quantitative method of data

collection were considered during the process and preparation of the instrument. This questionnaire will

be adopted and merged based on prior research, and it will be modified to measure the instrument's

validity and reliability. The questionnaires were divided into three sections: demographic data, risk

perceptions, and purchasing intention. Ordinal scales were used to assess demographic factors such as

gender and age. The second section contains a list of four risk elements that were used to assess the
degree of perceived risk when buying something online: product, time, delivery, and information security

risks. The last part contains elements that assess purchase intention. The second and third sections

received responses on a five-point Likert scale ranging from "strongly disagree" (1) to "strongly agree."

(5). The chosen instrument will be used in the collection of data are to test the validity and reliability of

the research study being conducted. Structured survey forms will be used.

Research Procedure

The researcher will obtain approval from the school administrator to perform the study. After

obtaining all the necessary formal permissions from the school, the researchers will start searching in all

social media platforms for appropriate research participants. The researchers would begin collecting data

on the respondents' profiles, risk perceptions, and purchasing intentions. The researcher would directly

hand the questionnaire to the respondents at a time that is suitable for them, ensuring that their schedule is

not disrupted. The researchers will collect all of copies until the survey is completed. After gathering all

necessary data, the researcher will view and analyze it in view of the research's main problem.
Statistical Data Treatment

The data gathered from the questionnaire will be evaluated using a quantitative approach. Survey

data will be collected from the respondents. The researchers will evaluate the results from the outcome

data collection in this section. The following treatments are used in the study:

Cronbach’s alpha is an indicator of internal consistency, or how closely a group of items are like one

another. It is used to measure the scale reliability as an estimate of the reliability of a psychometric test.

Independent T-test determines if the differences in the means of two unrelated groups are statistically

significant.

Pearson Correlation Coefficient measures the statistical relationship, or association, between two

continuous variables. This will determine the correlation coefficient between the risk perception and

purchase intention.

Multiple Linear Regression is a regression model that employs a straight line to approximate the

relationship between a quantitative dependent variable and two or more independent variables.

Ethical Consideration

The principle of this ethical research is that the conclusions obtained from the study establish

value for the society and will not cause harm to people (Doody & Noonan, 2016). The respondent of the

study will be given enough time to depict on the research questions, taking into account the ethical

aspects of research. Respondents' integrity and well-being is still respected. The researchers will provide

an informed consent process to the participants with the following in writing: (a) a complete explanation

of the intent of the study, (b) the right to withdraw, (c) a full risk evaluation for participants, and (d) a

detailed explanation of how the researcher would keep participant identities confidential.
Survey Questionnaire Tool

Name (optional): ________________________ Age: _____________

Direction: Read and analyze each item below. Rate yourself from 1 to 5 by putting a check in the box.

Please be guided with the following description per rate.

Rating Scale Description

5 Strongly Agree
4 Agree
3 Neither
2 Disagree
1 Strongly Disagree

PRODUCT RISK (PR) 5 4 3 2 1

PR1 I’m concerned that I won’t be
able to get what I ordered from online
shopping.
PR2 It is difficult to determine a
product’s quality over the internet.
PR3 I am unable to inspect and touch
the real product.
PR4 With clothing, size can be an
issue.
PR5 It is possible that the product I
bought will not work as intended.
TIME RISK (TR) 5 4 3 2 1
TR1 It can take a long time to
communicate with the seller.
TR2 When I shop online, I can’t wait
for the item to arrive.
TR3 It is difficult to find the right
product on the internet which requires
time.
TR4 Finding suitable websites is
difficult.
TR5 Purchasing a product over the
internet can be a waste of time.
DELIVERY RISK (DR) 5 4 3 2 1
DR1 It is possible that I won’t get the
product that I ordered.
DR2 The product would be delivered
to the incorrect location.
DR3 Sellers won’t be able to deliver
the product on time.
DR4 When shopping online, it is
difficult to cancel orders.
DR5 The goods returned may be
waiting a long time.
INFORMATION RISK (IR) 5 4 3 2 1
IR1 The website will keep my
personal details secure.
IR2 When it comes to buying
products, I have trust in the website.
IR3 This website makes me feel at
ease.
IR4 I have security on this website.
IR5 This website provides me with all
of the details I need.
PURCHASE INTENTION (PI) 5 4 3 2 1
PI1 I prefer to shop online because it
eliminates the need for me to leave the
house.
PI2 I prefer to shop online because I
can find detailed product information.
PI3 Online shopping allows me to
compare prices.
PI4 I find online shopping to be
convenient for my lifestyle.
PI5 I use online shopping to purchase
items that are unavailable in my local
store.