UNIVERSITY OF BARISHAL

Members of Gladiators

Department of Marketing
Research proposal
On
Consumers Buying Behavior Towards Online
Shopping
Course Title: Research Methodology
Course Code: MKT-412

SUBMITTED TO: SUBMITTED BY:

Bankim Chandra Sarker
Assistant professor
Department of Marketing
University of Barishal.
Gladiators Group
7th Batch
BBA,4th year 1st semester.
Department of Marketing
University of Barishal

University of Barishal
 Members of Gladiators
SL.NO. NAME ROLL REMARKS

01. Samiur Rahman(GL) 17MKT-019

02. K.M.Moshiur Rahman Naeem 17MKT-042

03. MD. Imran Hasan Sayem 17MKT-050

04. Maghna Khatun 18MKT-034

05. Fahim Ahmed 18MKT-040

06. MD. Aminul Islam 18MKT-043

07. MD. Iqbal Hussain 16MKT-055

08. Abdullah Al Maruf 16MKT-059

09. Hrideta Afrin Nabila 16MKT-069

July 2, 2022
Bankim Chandra Sarker
Assistant Professor
Department of Marketing
University of Barishal

Subject: Letter of Transmittal

Dear Teacher,

With due respect, we the students of group GLADIATORS have

research proposal on “Consumers Buying Behavior Towards Online
Shopping”

Though we are in learning curve, this report has enabled us to gain

insight into the core fact of business. So, it becomes as an extremely
challenging and interesting experience. Thank you for your supportive
consideration. Without your inspiring this report would have been an
incomplete one.

Lastly, we would be thankful once again if you please give your

judicious advice on effort.

Your sincerely,

Group, GLADIATORS

4th Year,1st semester

Department of Marketing

University of Barishal
Consumers Buying Behavior Towards
Online Shopping
Table of Contents
INTRODUCTION:.................................................................................................................................. 7

Literature review: .................................................................................................................................... 7

Methodology: ........................................................................................................................................ 10

Research method: .............................................................................................................................. 10

Target population: ............................................................................................................................. 10
Sample and data collection: ............................................................................................................... 10
Data analysis: .................................................................................................................................... 11
Analysis & Result: ............................................................................................................................. 11
Discussion ............................................................................................................................................. 11

Demographics of the respondents: ..................................................................................................... 11

Correlation among factors:................................................................................................................. 13
Regression analysis ........................................................................................................................... 14
Theoretical contributions ....................................................................................................................... 14

Practical implications ............................................................................................................................ 15

Limitations: ........................................................................................................................................... 16

Conclusions: .......................................................................................................................................... 16

Reference: ............................................................................................................................................. 17
Abstract:

A lot remains unexplored regarding Understanding the Determinants of Online Pharmacy Adoption. This
study aims to understand the determinants of online pharmacy or online pharmacy adoption among young
consumers in Bangladesh using an extended unified theory of acceptance and use of technology (UTAUT)
model. The robustness of the classical UTAUT model remains intact in the context of online pharmacy
adoption. Among the integrated variables, while facilitating conditions were significant, perceived risk and
performance expectation were insignificant in determining consumers’ intention to adopt online pharmacy.

The originality of the current study lies in the distinct contributions of this study. As this study extended
the classical UTAUT model by incorporating perceived risk and Facilitating Conditions, the addition of the
following two variables is new within the literature on online pharmacies.

The findings of this study would facilitate in devising better strategies for entering or expanding online
pharmacy business in developing countries such as Bangladesh.
INTRODUCTION:
Online pharmacy adoption is determined by a variety of factors. The most important factors are a country’s
regulatory environment, the level of development of the health care system, and the cultural context.

As information and communication technology (ICT) develops rapidly, more and more people are using
the internet. Using the internet as a resource, tremendous growth has been observed in the sales of groceries,
clothing, jewelry, e-banking, and e-health. Accordingly, e-pharmacies, or online pharmacies, are about to
generate much demand in the near future. A pharmacy that offers online sales of prescription medicines
and over-the-counter drugs, as well as delivery through the mail to consumers, is called an online pharmacy.

It varies from country to country whether online pharmacies are available. In some countries, such as the
United States, online pharmacies are readily available, while in other countries, such as Norway, they are
not as prevalent. Regulatory environments also play a role in determining how accessible online pharmacies
are. Countries with stricter regulations often have fewer online pharmacies than those with more relaxed
regulations.

Online pharmacies are also influenced by the health care system of a country. Countries with well-
developed health care systems are more likely to adopt online pharmacies than those with less developed
systems.

Literature review:
Selling medication over the web was begun in the USA in the last part of the 1990s (Orizio et al., 2011).
From that point, its development and notoriety are growing worldwide. In 2018, the worldwide e-pharmacy
market was about US$42.32bn, projected to be US$107.53bn by 2025, assessing a yearly compound
development of around 14.26% from 2019 to 2025 (Zion Market Research, 2019). Online drug stores offer
lower cost and exchange costs, expanded admittance from distant regions with more prominent
namelessness for customers. Also, online drug stores offer limits and quick conveyance administrations
close to home (Desai, 2016). These are the reasons that trigger the expanded ubiquity of online drug stores
all over the planet. In Bangladesh, the web-based drug store market is becoming as the number of web
clients increases. Years prior, Bangladesh was completely subject to imported medicine; however, as of
now, 97% of the drugs are created locally, while the nation is trading prescriptions to 147 nations (Ahmed,
2019). Moreover, during the ten years, the homegrown market for drug items has extended by around 15%,
and it is normal to be worth somewhere in the range of BDT400bn and BDT 500bn continuously from
2022-2023 (Ahmed, 2019). Plus, the public authority's vision of "Advanced Bangladesh" has made huge
enhancements in the ICT area. These are the key boundaries that make the pharmacy market a prospering
business sector for what is in store. Banglameds is the principal online drug store in Bangladesh that
conveys OTC and physician-endorsed medication all around the nation (Khan, 2020). A few other internet-
based drug stores, for example, biomed.com, dhakapharma.com, lazzpharma.com, healthshopbd.com, and
ousud.com, are likewise gaining prominence (Sarker et al., 2019). Having such possibilities in Bangladesh,
online drug store needs adequate examination consideration. Because of COVID-19, individuals tolerate a
better approach to existence with social removal and self-seclusion. Subsequently, while specific areas like
the travel industry, aeronautics, and disconnected retail deals are encountering a decrease in deals, web-
based retailing is confronting another rush of expanded requests. In reaction to COVID-19, medical services
areas have changed with the increased advanced change in medical care administrations (Nicola et al.,
2020). Following this, on the web, drug stores are consistently supplanting customary disconnected drug
stores at a speeding rate. Be that as it may, taking advantage of the chances of ICT application in various
services is a troublesome area until shoppers acknowledge and make the most of those new frameworks
(Rogers, 2003; Awa et al., 2015; Sivathanu, 2019). In this unique circumstance, while it is fundamental to
appreciate the factors impacting buyers' reception of online drug stores, surviving examinations in such a
manner are still in their earliest stages (Yin et al., 2016). Given such conditions, it becomes basic to have
incorporated investigations on the specific factors that make sense of buyers' social expectations and foresee
such a reception cycle. Researching buyers' impressions of values and dangers related to e-drug store use,
Wiedmann et al. (2010) recognized four bunches of e-drug store clients. Svorc (2012) reasoned that
apparent gambling and value are huge indicators impacting shoppers' aim to buy medicaments on the web.
Regarding China, Su et al. (2011) zeroed in on the plans of action and the executives of online drug stores.
Yin et al. (2016) deduced that presentation hope, social impact, saw the chance, and trust affects shoppers'
reception expectation of online drugstore. Additionally, late investigations zeroed in on buyers' availability
to buy medication online in Saudi Arabia (Abanmy, 2017; Alsadoun et al., 2020), coordinating
contemporary showcasing rehearses inside the e-drugstore setting (Ignjatovic and Stanic, 2019) and the
effects of the e-drug store on society in India (Singh et al., 2020). Regarding Bangladesh, past investigations
broke down the possibilities and difficulties of the e-drug store (Ferdous and Ishtiaque, 2013; Sarker et al.,
2019).Su, L., Huang, W. and Leung, J. (2011), "Development and management of online pharmacies in
China," Journal of Medical Marketing: Device, Diagnostic and Pharmaceutical Marketing, Vol. 11 No. 3,
pp. 197-203, DOI: 10.1177/1745790411405712 Ignjatovic, D. and Stanic, M. (2019), "Contemporary
marketing in pharmacy with the focus on the online Pharmacy concept," In FINIZ, pp. 78-84, DOI:
10.15308/finiz-2019-78-84. This study expects to address the referenced examination holes and add to the
surviving writing on web-based drug stores in four ways. First and foremost, as a purchaser-driven study,
this will utilize the brought-together hypothesis of acknowledgment and utilization of innovation (UTAUT)
model as the hypothetical structure supporting the review to investigate the elements influencing customers'
social aim to take on the web-based drugstore. The progress of any mechanical advancement requires
shoppers' acknowledgment (Rogers, 2003), which is impacted by innovative and individual qualities and
characteristics (Otto and Harst, 2019). In this specific situation, UTAUT makes sense of mechanical
"qualities at the individual (execution anticipation and exertion hope), authoritative (working with
conditions), and social (social impact) levels" (Isaac et al., 2019, p. 336). Also, saw risk saw trust, individual
inventiveness, and well-being education will be added as extra factors to the UTAUT model to more readily
make sense of customers' expectations to take on internet-based drugstores. Thirdly, this study will take on
a successive multi-technique concentrate on the plan recommended by Scott and Walczak (2009), by which
the SEM will make sense of causal connections, and the huge elements from SEM investigation will further
be utilized as contributions to the brain network examination to anticipate online drug store reception. This
will work on the legitimacy and trust in the review discoveries (Chong, 2013). At last, the review will add
to the general comprehension of purchasers of agricultural nations relating to online drug store reception.

Dependent variables:

1. Behavioral Intention:
This refers to the motivational factors that influence a given behavior where the stronger the
intention to perform the behavior, the more likely the behavior will be performed.

Independent Variables:

1. Performance Expectancy:
Performance expectancy (PE) is the degree to which a person believes that using the technology
will enable him or her to gain in job performance. When technology becomes more beneficial and
suitable in everyday life, customers become interested in accepting and using it. Previous studies
found PE as one of the significant and positive determinants of consumers’ behavioral intention to
accept mHealth services and online shopping. In this regard, it would be interesting to see whether
such an influence of PE exists in the context of online pharmacy.
2. Perceived Risk:
Perceived risk (PR) refers to the subjective feelings of uncertainty and harmfulness associated with
the usage of new technologies or services. Consumers perceive more risks and uncertainties in the
event of online purchasing than offline ones, meaning consumers often fear that a third party could
misuse their personal and financial information shared in online purchasing. PR, therefore,
negatively influences consumers’ intention to purchase online.
3. Facilitating Conditions:
 Facilitating conditions (FCs) refer to supporting organizational and technical infrastructures that
assist an individual in using a system. The higher the level of organizational support, the more the
positive inclination toward acceptance of health information technology. Past studies demonstrated
FC as a positive determinant of consumers’ behavioral intention in the context of e-health and
mHealth adoption.

Methodology:
Research method:
This research is descriptive in nature and use to identify the customer perceptions toward the online
pharmacy adoption. In this research, both primary and secondary data are used. Primary data is
collected through the questionnaire survey. The quantitative method is used in this research to
analyze the data with the help of mathematical statistical and computational techniques collected
from several sources. The questionnaire is developed and designed in open ended and close ended
questions. It is designed in such a manner that it can cover all important information needed in this
survey.

The information is being evaluated and summed up to discover an outcome that can quantify and
depict a few elements concerning the client’s discernment or practices. The information has been
gathered from a straightforward, fixed direct review survey which is organized and examined by
descriptive statistical techniques.

Target population:
The target population of this study is the young generation, who are more likely to adopt and
exploit the benefits of any technological changes (Aref and Okasha, 2020).

Sample and data collection:

A sample of university students was chosen for data collection as they belong to the young
generation, and are considered as more technology prone than other demographic groups in the
society (Lee,2014). To prepare this report, the sampling method that we used was non-probability
convenience sampling method.

Relevant data for this report has been collected primarily by direct investigations of different
records, papers, documents, operational process and different personnel. A structured Google
Docs questionnaire was developed and sent out to 70 willing respondents using messenger service.
After finishing the data collection period, 62 responses were received, with an 88.57% response
rate.

Data analysis:
Quantitative approach has been adopted for data analysis and interpretation taking the processed
data as the base. So, the report relies primarily on an analytical judgment and critical reasoning.

Analysis & Result:

The study used descriptive research method with confirmatory factor analysis. Descriptive
research method refers to a type of conclusive research that has as its major objective the
description of something, usually market characteristics or functions. For analytical purposes, we
used SPSS (version 26) software.

Discussion
Demographics of the respondents:
Table 1 demonstrates the summary of the sample distribution, which illustrates that among the respondent’s
male respondents were 37.0%, female 53.2%, system missing 9.7%.

Table-1
Gender
Frequency Percent Valid Percent Cumulative
Percent
Valid Male 23 37.1 41.1 41.1
Female 33 53.2 58.9 100.0
Total 56 90.3 100.0

Missing System 6 9.7

Total 62 100.0
In table 2 it illustrates that between 20-30 age youngsters were high amount almost 87.1% and others ages
are below 20 -1.6%, above 30 – 1.6% and missing data 9.7%

Table-2
Age
Frequency Percent Valid Percent Cumulative
Percent
Valid Missing 6 9.7 9.7 9.7

value
Above 30 1 1.6 1.6 11.3
Below 20 1 1.6 1.6 12.9
Between 20-30 54 87.1 87.1 100.0
Total 62 100.0 100.0

In table 3 it illustrates that the higher percentage of respondents were graduate about 62.9%, SSC/HSC
about 9.7%, post graduate about 17.7% and missing value 9.7%.

Table-3
Educations
Frequency Percent Valid Percent Cumulative
Percent
Valid Missing 6 9.7 9.7 9.7

value
Graduate 39 62.9 62.9 72.6
Post graduate 11 17.7 17.7 90.3
SSC/HSC 6 9.7 9.7 100.0
Total 62 100.0 100.0
In table 4 it illustrates that the higher percentage of respondents were 71.0%, and others were rest of the
percentages.

Table-4
Occupation
Frequency Percent Valid Percent Cumulative
Percent
Valid Missing value 6 9.7 9.7 9.7

Businessmen 4 6.5 6.5 16.1

Govt. job holder 3 4.8 4.8 21.0
Private job holder 5 8.1 8.1 29.0
Student 44 71.0 71.0 100.0
Total 62 100.0 100.0

Correlation among factors:

Table 5 illustrates the positive correlations between personal factors and consumers’ buying intention
toward online pharmacy adoption. Among these significant relationships, performance expectancy (r =.569)
and facilitating conditions (r =.517) have the most vital relationship with consumers’ behavioral intention.
And the remaining factor, perceived risk (r =.055), has a relatively low correlation with consumers’
behavioral intention. Consumers with deeper concerns for performance expectancy and facilitating
conditions are more likely to adopt online pharmacy.

Table-5: Correlation Among Factors

Correlations
Performance Facilitating Perceived Behavioral
Expectancy Conditions Risk Intention

Performance Expectancy Pearson Correlation 1

Facilitating Conditions Pearson Correlation .535** 1

Perceived Risk Pearson Correlation -.072 .122 1

Behavioral Intention Pearson Correlation .569** .517** .055 1

**. Correlation is significant at the 0.01 level (2-tailed).

Regression analysis
Table 6 illustrates the multiple regression analysis results for testing this study’s proposed hypotheses. A
simple multiple regression analysis was adopted to measure three independent variables with consumers’
behavioral intention as the dependent variable. The standardized coefficient shows the impact of
independent variables on consumers behavioral intentions of online pharmacy adoption. From Table-6 it is
also apparent that performance expectancy has highest impact on consumer behavioral intentions to
adoption. Besides, through table-6 we can see that Facilitating conditions influencing the adoption of
consumer positively. Table-6: Summary of Regression Analysis

Coefficientsa
Model Unstandardized Coefficients Standardized t Sig.
Coefficients
B Std. Error Beta
1 (Constant) 1.040 .569 1.827 .073

Performance Expectancy .460 .142 .411 3.249 .002

Facilitating Conditions .264 .119 .283 2.221 .030
Perceived Risk .024 .077 .032 .306 .760
a. Dependent Variable: Behavioural Intention

Theoretical contributions
According to a hypothetical point of view, this study has expanded the fundamental UTAUT model by
consolidating PR with regards to online drug store reception. As of late, utilizing a drawn out UTAUT
model, Alam et al. (2020) concentrated on the determinants of mHealth acknowledgment among age Y in
Bangladesh, and Yin et al. (2016) examined the compelling elements in deciding the reception aim of online
medication buy in China. Prominently, our review supplements and expands the discoveries of those
concentrates by explaining the huge effects of old style UTAUT develops (for example PE, EE, SI, FCs)
on web-based drug store reception. Another significant commitment connects with the finding of the huge
positive impact of PR on internet-based drug store reception. This presents a fundamental connection
between the PR idea (yin et al,2016) and utilization of new advances or administrations. Apparently, this
review is one of the first of kind exhibited such a strong connection, which could additionally be tried in
looking at the reception of various wellbeing related innovation (for example telemedicine, mHealth, e-
wellbeing). Past examinations likewise detailed that PR is a significant negative determinant of genuine
web-based shopping conduct (Aref and Okasha, 2020) and online medication buys in China (Yin et al.,
2016). Subsequently, as well as giving an improved comprehension of the subject examined, this study
presents another viewpoint of examination for studies connecting with web-based buying.
Practical implications
Notwithstanding hypothetical commitments, the exact discoveries of this study offer a few useful rules
connected with the improvement of the web-based drug store stage, which the chiefs (for example online
drug store designers) should think about insightfully to hurry the take-up of online drug store among the
youthful buyers. As of momentum discoveries, PE is huge driver of online drug store reception.
Accordingly, while advancing web-based drug store, it is pertinent to underscore the benefits and simplicity
of involving the help that they give to the clients in dealing with their everyday wellbeing related exercises
all the more productively. Policymakers and specialist co-ops ought to advance the conviction that internet-
based drug store is a simple to-utilize and inventive channel of getting essential medication inside a brief
time frame. FCs definitely stand out from youthful clients who are supposed to buy medication from online
drug stores. Thus, it is vital to zero in on the job of FCs in the reception of online drug stores by affirming
supporting frameworks (for example online stages) and rules are set up.In addition, the experimental
discoveries show the adverse consequence of PR on BI. Consequently, to lay out trust among the youthful
age, online medication suppliers ought to guarantee a mistake free conveyance process, ensuring that the
right medication in the right amount is conveyed to the right location. Furthermore, online retailers are
prescribed to acquire explicit authority declarations from specialists or legislative associations, which
would lay out trust among the youthful clients. This study has thought about that item quality, individual
wellbeing and data spillage risk contain PR with regards to online drug store. The ongoing review
demonstrates that PR essentially affects online drug store reception among the youthful age.
Notwithstanding, the drug business requires advancement that includes various gatherings, for example,
associations, research firms, monetary bodies, government mediations and buyers (Yu et al., 2014). In like
manner, with regards to online drug store, government mediations (for example strategy definitions) are
fundamental, aside from the drives of online medication venders and resulting customers' reception.
Without appropriate approach detailing and execution, youthful clients could buy unlawful medications,
and venders could have the chance to sell destructive medication (for example date lapsed medication,
unlawful medications).
Limitations:
The current study acknowledges a few possible limitations, which might confine the implications of the
current findings.

1) First, we collected data from young, university students, which could further be enhanced by
incorporating respondents from diversified mid-aged and older generations.
2) Secondly there is no one you can contact face to face. When patients want to ask questions about
the drugs they are taking, it is very difficult for them to reach a licensed pharmacist. For this reason,
it may not be possible for patients to access their medication on the same day.
3) Thirdly Some online pharmacies can dispense medicines to patients without requiring a
prescription. In such a case, patients can get sick much more severely instead of healing.
4) Fourthly One of the issues that raise questions about the E-Pharmacy application is the privacy of
personal and financial information. Therefore, online pharmacies should create their own privacy
policy pages on their websites and ensure that personal information and financial information are
not shared with third parties

Conclusions:
Because of the rapid advancement information technology, now online purchasing has got much
acceptance. Hence, the concept of online pharmacy is getting the way of going beyond. In the study of
consumers’ behavioral intention to adopt online pharmacies, this empirical study tested a unified model
that included additional constructs. The accelerating percentage of internet usage among the young
generation in developing countries like Bangladesh has opened new doors for the business of health-related
products. In this regard, this study would make an incremental contribution by examining and reporting the
significant determinants of online pharmacy adoption, which would facilitate in devising better marketing
strategies in the upcoming days.
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Questionnaires:

1. Gender
o Male
o Female
2. Age
o Below 20
o Between 20-30
o Above 30
3. Education
o SSC/HSC
o Graduate
o Post graduate
4. Occupation
o Student
o Private job holder
o Govt. job holder
o Businessmen

Performance Expectancy:

PE1 I find online pharmacy useful for me.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

PE 2 Using online pharmacy service increases my chances of meeting my needs.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree
PE 3 Using online pharmacies helps me in managing my health care efficiently.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

Facilitating Conditions:

FC 1 I have resources necessary to use online pharmacies.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

FC 2 I have the knowledge necessary to use online pharmacies.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

FC 3 Online pharmacy is compatible with other technologies I use.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree
Perceived Risk:

PR 1 I am afraid that medicines from online pharmacies are harmful to my health.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

PR 2 I am afraid that purchasing medicine online will reveal my identity.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

PR 3 I am afraid that medicines from online pharmacies are counterfeit or poor quality.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

Behavioral Intention:

BI 1 I would like to purchase medicine from online pharmacies.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree
BI 2 I would like to purchase medicine online for my friends.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree

BI 3 I would like to recommend my friend to purchase medicines.

o Strongly disagree
o Disagree
o Neutral
o Agree
o Strongly agree