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THE EFFECTS OF HEDONIC, UTILITARIAN AND SOCIAL VALUE ON GENERATION


Z STUDENTS’ TOWARDS E-SHOPPING INTENTION: A MEDIATING ROLE OF E-
SATISFACTION

Article  in  Journal of Critical Reviews · June 2020


DOI: 10.31838/jcr.07.10.50

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Journal of Critical Reviews
ISSN- 2394-5125 Vol 7, Issue 10, 2020

THE EFFECTS OF HEDONIC, UTILITARIAN AND SOCIAL VALUE ON GENERATION Z


-SHOPPING INTENTION: A MEDIATING ROLE OF E-
SATISFACTION
Ahasanul Haque*1, Wasiul Karim2, Mohammad Arije Ulfy3, Zohurul Anis4, Nazmul Huda5
Department of Business Administration1,2&3
International Islamic University Malaysia, Box No. 10 5.728, Kuala Lumpur Malaysia
Department of Management Studies, University of Rajshahi, Bangladesh4
Department of Tourism and Hospitality Management 5
Noakhali Science and Technology University

Corresponding author: Ahasanul Haque,


Email: ahasanul@iium.edu.my

Received: 16.03.2020 Revised: 03.04.2020 Accepted: 20.05.2020

Abstract
In recent years, online shopping has dramatically increased and resulted many traditional retail stores a tragic demise. Due to the
increasing number of social commerce sites new generations are shifting towards online shopping by preference. The purpose of this
study is to investigate the effects of perceived value i.e. hedonic value, utilitarian value and social value, on e-satisfaction and online
shopping intention among Generation Z cohort university students. Total 287 data were collected from the students studying at the
university in Klang Valley area of Malaysia through online survey and face-to-face conversation. The data were analyzed by using partial
least squares structural equation modeling (PLS-SEM). The results show that e-satisfaction have positively and significantly affects
online shopping intention. Perceived value such as utilitarian value, hedonic value and social value have significant effects on e-
satisfaction and online shopping intention. The findings of this research will be extremely important for both digital marketers and

ability to discover more variables to examine the satisfaction and intention to use particular sites for e-shopping.

Keywords: Hedonic value, Utilitarian value, Social value, e-satisfaction, e-shopping intention, Generation Z.

© 2020 by Advance Scientific Research. This is an open-access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/)
DOI: http://dx.doi.org/10.31838/jcr.07.10.50

INTRODUCTION Among all influencing factors were discussed in prior studies,


The use of internet is emerging by providing distinct value perception has been identified as the most significant one
opportunities for e-purchase from both customer and seller affecting online shopping decisions for shoppers (Coker,
prospects (Sepehri-Rad, Sadjadi , & Sadi-Nezhad, 2019). Social Boostrom , & Altobello, 2014). In online shopping, the
media plays a significant role for its hybrid component of characteristics of the online store are viewed from two user
integrated marketing communication that let organization perspectives: functional and hedonic where functional value is
building a strong relationship with its customers (Valos , Habibi, considered as utilitarian value (Lim & Ting , 2012). The
Casidy , Driesener, & Maplestone , 2016). E-purchase or e-retail utilitarian consumers are motivated by the functional value of
online is a form of digital commerce that allows buyers to the products offered online such as, most utilitarian consumers
purchase goods or services directly from a seller over the are rational in thinking, and they are influenced by the related
internet via an internet browser (Wahab , Mokhtar , & Set, 2019). information and navigation design of the online stores. So most
In the past few years, the number of online stores has increased
and resulted of many traditional retail stores demise or oven functionalities provided online (Toufaily & Pons, 2017). On the
shifting towards e-commerce (Wang E. S., 2017). other hand hedonic consumers are more prone to enjoy the
moment during online surfing (Overby & Lee, The effects of
Generation Z cohort is classified as a group of people born in the utilitarian and hedonic online shopping value on consumer
era of technology. Apart from previous generations, Gen Z are preference and intentions, 2006). Though many researches had
more advanced in using high-tech products and accustomed to been conducted using the effect of hedonic and utilitarian values
multiple information sources (Priporas, Stylos, & Fotiadis , on user behavior (Lin & Lu, 2015), lack of researches is yet to
2017). University students who are represented mostly by conduct on social value. A study conducted by (Gan & Wang,
Millennial and Gen Z nowadays are being categorized as 2017) found that, utilitarian value, hedonic value and social value
technology savvy
with high computer literacy and segmented as important purchase intention where utilitarian value as a dominant
shopper (Lissitsa & Kol , Generation X vs.Generation Y-A decade position followed by hedonic value with greatest effect on
of online shopping, 2016). Value and convenience are key satisfaction.
determinants of purchasing online. Before making an online The main objective of this research is to examine the hedonic,
purchase Gen-Z compare prices with physical stores as they util -shopping
place importance on value of money (Nielsen , 2019). As with the intention by implementing an empirically testing model. The data
previous generation, the characteristic nature of Generation Z were collected from students studying at Klang Valley area in
behavior is significantly formed and affected by the diverse Malaysia via an online and face-to-face conversation. PLS-SEM
environment and surrounding factors. There are limited study was conducted in order to assess the model and testing the
conducted on Gen Z regarding the usage of social commerce and hypotheses. With this criterion, the study aims to collect data and
online shopping intention. analyze it with using PLS-SEM in order to investigate whether

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INTENTION: A MEDIATING ROLE OF E-SATISFACTION

these values satisfies the Gen Z students intention towards online The Stimulus organism and response model (S-O-R) was first
shopping. However, the study develops few specific objectives introduced by Mehrabian and Russell (1974) in environmental
which are: psychology. The SOR model has been widely exercised in
marketing studies and the literature of consumer behavior
To examine the effect of Hedonic value on Generation Z (Wakefield and Blodgett, 1996; Donovan et al., 1994; Buckley ,
-shopping intention. 1991). As the Internet becomes a significant or complementary
To examine the effect of Utilitarian value on Generation Z source of sales for many retailers, work on the online purchasing
-shopping intention environment or what is known as the e-atmosphere or e-
To examine the effect of Social value on Generation Z servicescape has emerged (Birchall, 2010; Eroglu et al., 2001;
-shopping intention. Harris and Goode, 2010; Koo and Ju, 2010). In the S-O-R system,
To examine the mediating effect of e-satisfaction. stimuli are believed to have an effect on an individual's
emotional state. This approach has been expanded later and
LITERATURE REVIEW widely applied to online shopping outcomes. From online
The topic of perceived value is widely used to examine the shopping context, stimulus (S) describes the visual presentation
satisfaction and future intentions towards scientific literature or any noticeable effect that perceived by online shopper.
mostly related to services (Wu & Li, 2017). Perceived value Internal states (Organism) affect customer responses such as
refers to an overall assessment by a customer of the utility of a intention to buy (Response). SOR stimulates the emotional and
product or service based on expectations of what is obtained and cognitive state of the person by providing environmental cues,
what is provided (Zeithaml, 1988). Prior studies have done using contributing to certain behavioral outcomes (Chan , Cheung, &
perceived value to determine the attitude and behavior. The Lee, 2017). Peng and Kim (2014) applied SOR model to
study of Gan & Wang ( 2017) suggested that perceived value such investigate internal (i.e. hedonic value and utilitarian value) and
as, hedonic, utilitarian and social values have significant
relationship on satisfaction and purchase intention in social (2010) found that, in the online environment hedonic value and
social commerce context where utilitarian and hedonic value are utilitarian value are the most prominent factors that motivate
found to be salient and greatest effect on satisfcation consumers to engage with e-commerce. Chen et al. (2019) used
respectively. Chen et al. (2019) studied mobile payments and the SOR model to study consumer satisfaction and mobile
costomers satisfaction by using perceived value and the study payment usage intention. Moreover, web-based aesthetic stimuli
found that both hedonic and utilitarian value positively affects may elicit cognitive, affective, and conative outcomes of online
customer satisfaction and mobile payment usage intention. (Kuo, shoppers (e.g., arousal, satisfaction, purchase and revisit
Wu, & Deng , 2009) reaveled that perceived value has a positive intention) in purchasing tasks (Wang, Minor, & Wei , 2011).
impact on both customer satisfaction and post-purchase Based on the previous study this study examines the e-shopping
intention. Kim et al. (2013) studied on mobile user engagement intention from the perspective of perceived value (i.e. hedonic,
using perceived value. Carlson et al. (2015) noted that perceived utilitarian and social value). This study is using S-O-R model
online channel value significantly impacts user satisfaction. where perceived value specified as (i.e. hedonic value, utilitarian
Kesari & Atulkar (2016) found the positive relationship between value and social value) stimulus, e-satisfaction as organism and
perceived value and satisfaction where both hedonic and e-shopping intention as response.
utilitarian value had positive and significant influence on
satisfaction.
E-Satisfaction
Generation Z Satisfaction has been described as a significant factor affecting
The term generation Z applies to individuals born between 1995 intention to purchase in commercial contexts (Hsu & Lin , 2015).
to 2010 right after millennial (Mohr & Mohr, 2017). According to It is theorized that satisfaction and perceived intention are
the department of statistics Malaysia, Gen-Z are representing determined by hedonic value, utilitarian value and social value
about 26% of the total Malaysian population and reliance on also known as perceived value (Tarofder et al. 2017; 2019).
social media as a news source rose to 71% based on the study Satisfaction is described as a part of cognitive and emotional
(Nielsen , 2019). Zemke et al. (2000) differentiate six generations stage where consumer evaluates the product and services right
in chronological order. Among those generations, Gen Y after purchase (Chen et al. 2019). Satisfaction is a degree of
expereinced a massive change of technology wheares Gen Z born which judgements are associated to perform behavioral intention
in the technology. In Malaysia, Gen Z is found to be equal as (Chea & Luo, 2008). Customer satisfaction can result a succesive
worlds Gen Z population in terms of their characteristics because behavioral intention or repurchase intention (Anderson &
they grow up with digital device, internet and technology Sullivan , 1993). Study conducted by Gan and Wang (2017) found
(Mohammed , 2018). As they grew up during the explosion of that satisfaction in social media context are salient thus it affects
technology, they are regarded as I-generation and net-gen the consumers purchase intention significantly and positively.
(Turner, 2015). Social media website plays a significant role because it directly
affect consumers satisfaction thus have a positive impact on
Generation X (Born between 1960 and 1980) is the first
purchase intention (Bai & Law, 2008). Satisfaction therefore has
generation who had experienced internet for their formal
a significant impact on the continuing intention of the consumer
communication such as using e-mail or web (Tyler, 2008).
(Zhang et al. 2015). Based on the statements above the following
Generation X are considered as the best-educated generation and
hypothesis are formed:
had adapted technology to boost their professional carrier up
while Generation Y (Born between 1980 and 1995) had seen a H1: Satisfaction has a positive effects on purchase intention.
massive change of technology, they have been using cellphones
from their childhood with an access of internet (Lissitsa & Kol,
2016). Gen Y is the first generation who has been comfortably Hedonic Value
using technology. However, Generation Z (Born between 1995 Hedonic value is prescribed as non-functional benefit where no
and 2010) was born in the era of accelerated technology (Desai & monetary values are involved instead; it pays attention more on
Lele, 2017). emotional benefits (Gan & Wang, 2017). The study conducted by
Ryu et al (2010) revealed that satisfaction of consumers acts as
Theoretical Framework partial mediator linking hedonic value and behavioral intention
in between. According to Chang and Tseng (2013) the study

Journal of critical reviews 232


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INTENTION: A MEDIATING ROLE OF E-SATISFACTION

verify that purchase intention is influenced by perceived value consumers purchase intention strongly. Consumer purchase
from online shopping such as hedonic value. The greater level of intention is influenced by the utilitarian value (Jang & Shin ,
hedonic value they absorbed the more satisfaction they develop 2016). Based on the abovementioned literature the following
and more intention they generate towards online purchase (Gan hypotheis is formed:
& Wang, 2017). The study also found that there is a significant
relationship among hedonic value and purchase intention (Lin & H3a: Utilitarian value has positive effects on satisfaction.
Lu, 2015). Few studies examine both hedonic and utilitarian H3b: Utilitarian value has positive effects on ourchase intention.
value to study purchase intention and the result reveals the
importance of hedonic value rather than utilitarian value in the Social Value
line of purchase intention in s-commerce (Chen, Chang , & Chen, Social values plays an important role besauce consumers are
2017). Based on the literature above, hedonic value is abided by the institutional rules that arose from family or other
significantly and positively affects satisfaction and thus let reffereal group of people to put pressue on purchase intention or
consumers intention to purchase. With that the following perofom certain action (Shukla , 2012). Social value is an
hypothesis is formed: important issue in social commerce as it significantly and
H2a: Hedonic value has positive effects on satisfaction. positively influence consumers purchase intention (Gan & Wang,
2017). Accourding to Sweeney and Soutar (2001) users evaluate
H2b: Hedonic value has positive effects on purchase intention. products or services not only by using enjoyment or functional
values they also evaluate through social consequences. Social
Utilitarian Value values are also related to status obtained by consume luxury
Utilitarian value can be characterized as the overall consumer products (Abrar et al. 2019). Apart from status, an individual
determination / evaluation of the functional benefits received. It obtains self-identification from using social commerce site by
is related to task-specific usage of online shopping channel, such sharing their shopping experiances and interracting with others
as task-related value and functional value. Utilitarian value is (Gan & Wang, 2017). According to Hu et al. (2015) social value
stipulated as functional benefit where it involves judgment of the from online perspective plays a significant role on satisfaction
product or services based on price, features and appropriateness towards social commerce. Kim et al. (2013) revealed that
(Hoffman & Novak , 1996). It is also refer to the usefulness of the consumers social vaue has significant effects on intention to use
products and services, functional value and value related to tools social commerce site. The research conducted by information
and tasks (Babin, Darden, & Griffin, 1994). According to (Overby system adoption revealed that social aspects are being
& Lee, 2006) conceptualized traditionlly into social norms where informal
on product features, advantages, cost and price of the products rules are based, i.e. pressure form others to adopt the technology
after considering product characteristics. Previous study shows due to its properity (Venkatesh, Morris , Davis , & Davis , 2003).
the higher level of utilitarian value causes higher level of In the study of consumers perceived value in social commerce,
satisfaction (Gan & Wang, 2017) and the higher level of social value is found to be significant and positively affects on
satisfaction pertaining consumer social commerce purchase consumers satisfaction (Alshibly, 2015). Based on the above
intention (Hsu & Lin , 2015). The study of Xu et al ( 2015) on literature and prior findings, consumers social value using social
mobile application suggested that the utilitarian value has commerce site and social acceptance as well as approval leads
significant effect on purchase intention. Consumer assesses consumers satisfcation amd intention to use social commerce
website to find the prefered products which is value for money websites. Thus the following hypothesis is formed:
and convenient thus utilitarian value generates satisfcation
towards s-commerence site (Vijay et al. 2019) and triggers their H4a: Social value has positive effects on satisfaction
purchase intention. So utilitarian value plays a significant role on H4b: Social value has positive effects on purchase intention
satisfaction and consumers purchase intention.
2012) posits that utilitarian value has the potency for influencing

Proposed Model for This Study

H2b
Hedonic
H2a
value
H3a
E-Satisfaction H1 E-shopping
Utilitarian
intention
value
H4a
H4b
Social
value H3b

Figure 1: Proposed model for this study

RESEARCH METHODOLOGY of these constructs. first four items of hedonic value were
Construct measurement adapted from Gan and Wang (2017) and two items from Park et
The research model comprises five constructs, including hedonic al. (2011). Among six items of utilitarian value, four were
value, utilitarian value, social value, e-satisfaction and shopping adapted from Gan and Wang (2017) and two from Park et al.
intention. All the measurement iteams were adopted from the (2011). Social value were measured by five-itam scales, four
existing research but modified further to ensure the the validity from Gan and Wang (2017) and one from Alshibly (2015). Four-

Journal of critical reviews 233


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INTENTION: A MEDIATING ROLE OF E-SATISFACTION

iteam scales of e-saticfaction were adapted from Gan and Wang who are using social commerce website and shopping online.
(2017) and Alshibly (2015). All three-items scales of shopping Thus study was conducted using convenience sampling method
intention were adapted from Gan and Wang (2017). All the where students from the university with minimum shopping
measurement items were measured using five-point likert scale experience in social commerece site was a part of this survey. the
i.e. 1= strongly disagree to 5= strongly agree to express the information provided in this survey form were remain
statement of agreement (Tarofder et al. 2013). ananomous. A number of 287 responses were collected from
whatsapp and facebook by sending the link of Google form and
All the itams of the questionnaire were designed using english face-to-face conversation. 26 out of those responses were
language only. For the purpose of this study, 25 set of discarded as they left the survay form incomplete. And 43
questionnaire were distributed to the students of the university responses were ommited due to not meet the qualifying
for the pilot study with the aim of getiing comments and questions. The question was ased whether they were born
feedback. Based on the comments and feedback given by between the year of 1980 and 2010 and have they ever shopped
respondents the questionnaire was modified further to improve online. as a result 218 valid data were obtained for further
the clarity and understandibility. analysis.
Data collection Data Analysis
Data for this research were collected using online survay and In order to validate the measurement model and structural
paper based questionnaire during the period of December- model this study used Smart PLS sofware version 3.0. `
January 2020. The questionnaire was distributed to students

Demographic profile
Table 2: Demographic profile
Measure Items Frequency Percentage
Gender Male 63 28.9
Female 155 71.1
Age Below 18 15 6.9
Between 18-20 65 29.8
Between 21-25 138 63.3
Level of study Undergraduate 151 69.3
Postgraduate 67 30.7
Online shopping experience Less than 1 year 83 38.1
1-2 years 64 29.4
2-3 years 57 26.1
More than 3 years 14 6.4
Spending time on s-commerce site Less than 1 hour a day 82 37.6
Between 1-3 hours a day 93 42.7
Between 4-5 hours a day 36 16.5
6 hours and above a day 7 3.2

Total of 218 data were analyzed which represents 75.95% of the 7.0 (Hair et al., 2013). Therefore, average variance extracted
total sample collected. Table 2 shows that majority respondents (AVE) should be exceeded 0.5 as recommended by Hair et al.
were female with 71.1 percent and aged between 21-25 were (2013). The study indicates the value ranging from 0.877 to
63.3 percent. Undergraduate students were 69.3 percents and 0.941 for CR and 0.814 to 0.9
online shopping experience were less than one year with 38.1 value ranging from 0.596 to 0.819 for average variance extracted
percent. However, 42.7 percent student stated that they spent 1- (AVE). Thus, the test result from the current study can conclude
3 hours a day on social commerce site. the good reliability of all the items. The loadings as well as cross
loadings matrix were evaluated. Figure 2 indicates that all
Reliability and validity test indicators present higher loadings with their respective
exploratoty constructs compared with other constructs. Thus it could be
factor analysis (EFA) for this study. Total five factors were determined that discriminant validity in this study was
extracted which represents 69.635 percent of the total variance. established. The guidelines followed were that a loading higher
Among those, first factor shows 32.842 percent of explainatory than 0.05 is acceptable, whereas a loading of more than 0.7
power which was less than 50%. However, five factors were reflects more variance (Hair et al., 2016). Figure 2 shows the
above the eigen value of 1. loadings ranging from 0.712 to 0.910.
To illustrate discriminant validity, it refers the degree to which
Measurement model factors are uncorrelated and distinct (Hair et al., 2013). Measures
In order to assess the measurement model five latent variables of different constructs should not correlate highly with each
was estimated. All the constructs were modeled using reflective other (Fornell and Larcker, 1981). Table 3 shows the good
indicators. To evaluate the convergent validity Composite discriminant validity as it illustrate the square AVE of each factor
Reliability (CR) an are larger than any of its correlations with the other factors.

Table 3: Convergent validity and reliability


AVE CR HV UV SV eSAT PI
HV 0.726 0.941 0.924 0.852
UV 0.692 0.931 0.911 0.489 0.905
SV 0.596 0.881 0.831 0.247 0.392 0.772

Journal of critical reviews 234


-SHOPPING
INTENTION: A MEDIATING ROLE OF E-SATISFACTION

ESAT 0.641 0.877 0.814 0.256 0.427 0.091 0.832


ESI 0.819 0.931 0.889 0.391 0.519 0.513 0.249 0.801

Structural modeling results Hypotheses testing


The structural model reflects the relationship between the Table 4 represents the results of the hypotheses. The results
constructs or the latent variables that were hypothesized in this indicate that e-satisfaction significantly and positively affects
study. Both path coefficients and R 2 score were determined by
the structural model analysis. According to Hair et al. (2017), R 2 is supported for this study. Hedonic value significantly and
values of 0.75, 0.50 and 0.25 which describes substantial, positively affects e- -
moderate and weak levels of predictive accuracy. The t-value>
1.96 is significant at p< 0.05 and t-value> 2.58 is significant at p< supported. Utilitarian value significantly and positively affects e-
0.01 (Hair et al., 2017). -shopping intention
and H3b also supported. Social
value positively and significantly affects e-
t=5.014) and e-
and H4b also supported.

Table 4: Results of proposed model


T-
Hypotheses Path stats Decision
H1 e- 0.256 3.243 Supported
H2a -satisfaction 0.245 2.883 Supported
H2b 0.277 3.056 Supported
H3a e-satisfaction 0.146 3.185 Supported
H3b 0.277 2.753 Supported
H4a -satisfaction 0.440 5.014 Supported
H4b 0.167 2.403 Supported

Mediation effect analysis


Three mediating effects were examined in this study. First, mediator and mediator to dependent variable were found to be
-satisfaction has a mediating effect on significant in step one. Step two of Hair et al. (2017) was
hedonic value and shopping intention. Secondly, e-satisfaction
has a mediating effect on utilitarian value and shopping intention c found to be significant, thus no full mediation was associated.
and lastly, e-satisfaction has a mediating effect on social value After that, path c indicated as direct effect (Hair et al., 2017) and
and shopping intention. A study of Hair et al. (2017) describes found to be significant. Thus the result indicated that there is a
several steps to be followed in order to analyze the mediation. partial mediation (complementary) between independent
With 95% confidence intervals, 5000 simulation were variables and dependent variable.
bootstrapped and found no 0 straddle in between. First step

Figure 2: Path analysis

DISCUSSION usage of social commerce site is a wise decision and perhaps


The objective of this study was to understand the effects of customers are satisfied with the social commerce sites as all
perceived value (Utilitarian value, hedonic value and social expectations were fulfilled. Thus they will recommend others to
value) on e-satisfaction and online shopping intention among use the sites (e.g. Gan and Wang, 2017; Cronin et al., 2000).
Generation Z. The study identified the theoretical support for this Results also highlighted that hedonic and utilitarian value
particular research. In this study e-satisfaction were found to be significantly and positively affect e-satisfaction and shopping
significant and positively affecting online shopping intention. intention. The result is in line with prior findings (e.g. Hsu and
This study is in line with previous findings (e.g. Gan and Wang, Lin, 2015; Gan and Wang, 2017; Hu et al., 2015). The results also
usness indicate the significant and positive relationship among social
towards social commerce are resulted from satisfaction (Hsu & value and e-satisfaction (e.g. Alshibly, 2015; Gan and Wang,
Lin , 2015). Satisfied customers are more likely to discern that 2017). Social value is important among generation Z because

Journal of critical reviews 235


-SHOPPING
INTENTION: A MEDIATING ROLE OF E-SATISFACTION

using of social commerce site for shopping would keep their good impression on others thus they intend to shop using s-
friends connected and accepted in the society and it may create a commerce sites (Sweeney & Soutar , 2001).

Table 5: Mediation effect


Step Path Relationship Coefficient t-value Sig. Decision
a1 path 0.245** 2.827 Yes
a2 path 0.146*** 3.142 Yes
Step 1 Accepted
a3 path 0.439*** 4.654 Yes
b path 0.256*** 3.109 Yes
c1 path 0.341*** 3.828 Yes
Step 2 c2 path 0.314*** 3.820 Yes Accepted
c3 path 0.279*** 3.547 Yes
c1' path 0.277** 2.912 Yes
Step 3 c2' path 0.277** 2.957 Yes Accepted
c3' path 0.167** 2.370 Yes
*P <0.05; **P <0.01; ***P <0.001

Bootstrapping 95% confidence intervals


Relationship Coefficient t-value Lower Upper
0.063 2.261 0.008 0.117
0.113 2.239 0.014 0.211
0.037 2.616 0.009 0.065

CONCLUSION, LIMITATIONS AND IMPLICATIONS important to know the social commerce sites for shopping is
From theoretical point of view, this study contributes to widely accepted in the society and it would keep them connected
information system literature by enhancing the image of with each other. Perceived value thus considered an important
perceived value. Perceived value was distinguished by hedonic,
utilitarian and social value in order to see the effects towards e- commerce sites.
satisfaction and thus shopping intention among Generation Z.
Prior study has been paid more attention to its general value The study also offers in-depth understanding of Generation Z and
concepts and the existence of social value was paid least their behavior on social commerce sites and the value they look
attention. The findings of current study will enrich perceived for. The use of social commerce sites are expanding and resulted
value dimensions in new generation with social commerce many traditional retail stores downsizing or even shifting
contexts. towards social commerce platform in order to sustain in the
market place. The new generation especially Gen Z is considered
Previous study were mostly covered the general concept of to be technology savvy and the shopping intention among
perceived value that can be defined as monetary value, quality, Generation Z are growing for the time being. Based on the
benefit and social phycology (Kuo, Wu, & Deng , 2009) . Present timeline of Generation Z, they are yet to be employed as they are
study discussed the core dimensions of perceived value and their still continuing their studies in different universities. Taking
effects on e-satisfaction. The rapid increases of social commerce initiative on how to attract and retain young generation by
sites and its value initiate a competition among firms in providing valuable services in social commerce sites would be a
customer-centred era, which has been examined through wise decision for e-retailers as Generation Z are going to be a
conceptual and empirical studies. Perceived value was examined part of future customers.
as predominant factor in few studies in order to investigate the
shopping intention. Based on the present finding of this study, This study was conducted to examine the shopping intention
researchers will be able to explore the three dimensions of among Generation Z students particularly in Klang Valley area.
perceived value (i.e. hedonic value, utilitarian value and social However, this study has a few limitations that should be taken
value) on shopping intention using social commerce sites. into account. First of all, the participants of this study were
mostly taken from convenient sample rather than probability
The study highlights the key dimensions of perceived value. The sample. Secondly, young generations such as Generation Z were
results show a positive relationship between hedonic value and mainly involved in this study from particular area thus; the study
e-satisfaction. Social commerce sites would generate pleasure, should be done throughout the Malaysia. As the number of social
fun and excitement that lead Generation Z to attempt shopping. commerce sites and its users are increasing, the behavior of
Service providers should keep in mind that atmospheric design Generation Z may differ from one area to another. For instance,
of the social commerce sites are the key determinant of consumers may experience different services provided by social
-satisfaction and shopping intentions. Functional commerce sites in rural area compared to urban area. Thirdly,
value is another factor that every consumer is aware of. Quality this study examined the shopping intention based on three
of the product satisfies consumers and let them be involved in factors such as hedonic value, utilitarian vale and social value
shopping. Point to be noted that, quality of the product can only which has examined several times in previous studies. Thus, new
be measured in physical stores and it is hard for consumers to factors are recommended to be examined in order to discern the
take a look of products which are offered e-retail stores. Thus e- shopping intention among new generations.
retailers should keep an eye on the product quality. In addition,
the information about products is to be specified and the REFERENCE
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