You are on page 1of 30

ONLINE VS TRADITIONAL COMMERCE: A STUDY ON ILIGAN MEDICAL

CENTER COLLEGE’ BUSINESS ADMINISTRATION UNDERGRADUATE


STUDENTS’ SHOPPING PREFERENCE ON FOOD AND BEVERAGES

Mohammad Faizal A. Macarambon


mam32649@imcc.edu.ph

Amera Gumama
aig23079@imcc.edu.ph

Shairmaine Quiros
saq32667@imcc.edu.ph

Hannah Gabrielle Metrillo


hnm31345@imcc.edu.ph

College of Business Administration

In Partial Fulfillment of the Requirements for the Course


Contemporary World

Prof. Princesita Gutierrez Timonera

October 2022
2

CHAPTER 1

INTRODUCTION

This chapter includes the background of the study, statement of the problem, significance of

the study, theoretical and conceptual framework, the limitations of the study, and definition of

terms.

Background of the Study

In the period of globalization, advancements in science and technology have acquired

changes in the way people do certain things. One of them is being able to trade online.

Electronic Commerce (E-commerce) is the buying and selling of goods or services by

businesses or individuals over the internet. Ever since the pandemic hit us in 2019, more and

more people are opting to shop online since there are a lot of restrictions and community

guidelines to follow when going to certain places. Online shopping is also more convenient

for those who live in far flung areas who don’t have the proper access to malls and stores that

cater their needs. In today's business environment, technological advancement and

diversification have gained importance. The constant change in trends in the global market

has made the corporate environment unpredictable and dynamic. The importance of

innovative services and products is emphasized by the increased competition in every

business. The development of numerous business platforms was made possible by the

internet's evolution. One of the most popular activities and profitable businesses has always

been shopping. Digitalization has facilitated more convenient and adaptable shopping

methods.

Owners must be aware of their customers' preferences for their business to succeed. It

will be easier for business owners to target customers who are willing to pay for their goods or
3

services if they are aware of their preferences. This is a lot more efficient and cost-effective

method of reaching clients and bringing in revenue. Furthermore, people all over the world

are looking for the fastest, simplest, and least expensive way to complete a number of our

everyday duties as a result of their increasingly busy lifestyles. As a result of this situation,

some people no longer prefer using traditional stores to make a range of purchases. The

biggest advantage of online shopping is that consumers can make purchases from any location

without leaving their homes and can locate whatever they require by simply typing a few

phrases. Due to advancement in technology, the transactions through any digital media are

becoming a must for almost any company that provides a product or a service (Sun and

Finnie, 2004).

In fact, according to GlobalData’s ECommerce Analytics, the transaction value of

e-commerce in the Philippines grew by 11.8 percent from 2019 to 2020 and further increased

to 15.1 percent in 2021. Not only customers are shifting to the online market, but businesses

are also included. The Department of Trade and Industry (DTI) reported that the number of

online sellers increased from 1,700 in March 2020 to 93,318 in January 2021. Does this

impose a threat to the businesses in our locality? As stated in PSA’s Provincial Product

Accounts release in December of 2021 for Iligan City, there has been only 0.7% growth rate in

wholesale and retail trade in the year 2019-2020. This is significantly lower as compared to

the 14.1% growth rate in 2018-2019.

However, as face to face classes commences, more and more businesses especially

restaurants and cafes are opening to cater their customer’s needs. Will this be a cause for

change in statistics? This study aims to determine what are the preferences of the respondents

on shopping or buying food and beverages.


4

This study will focus on determining the shopping preferences of the business

administration undergraduate students of Iligan Medical Center College on food and

beverages. The researchers are dependent on the result of the survey that they will conduct.

The parameter of this research will only be in the Higher Education campus of Iligan Medical

Center College and will be conducted within the 1st semester of the academic year

2022-2023. The respondents of the study will be composed of business administration

undergraduate students of Iligan Medical Center College.

Theoretical Framework

Theory of Revealed Preference

One of the underpinning of this study will be anchored on the Theory of Revealed

Preference by Paul Samuelson in 1938. According to the theory, customers' preferences can be

inferred from the things they buy when faced with various options, particularly when faced

with a range of price and income options. According to the theory, if a customer buys a

particular bundle of products, then, given constant income and price levels, that bundle is

"revealed preferred" to any other bundle that the consumer could afford. An observer can infer

a representative model of the consumer's preferences by altering income, pricing, or both.

The two most notable features of revealed preference theory are as follows: (1) it

offers a theoretical framework for explaining consumer behavior based on little more than the

assumption that consumers are rational and will make decisions that best further their own

goals; and (2) it stipulates necessary and sufficient conditions, which can be empirically

tested, for observed choices to be consistent with utility maximization. Three main

axioms—the weak, strong, and generalized axioms of revealed preference—were identified as


5

the revealed preference theory evolved. The weak axiom states that, for a given set of prices

and incomes, a buyer will always choose to buy one good over another (Zin, D. and Roper, E.,

2013).

Shopping Preference Theory

Another theory that could be related to this study is Shopping Preference Theory of

Jagdish Sheth (1982). According to the theory, there are four fundamental concepts and

determinants that make up the shopping preference subsystem, which aims to incorporate a

significant percentage of our set of substantive knowledge. Moreover, shopping predisposition

is the term used to describe the relative shopping preferences of the evoked set of outlet

choices for a particular product class buying circumstance, such as shopping for food, apparel,

health care, insurance, etc. It can be used as the criterion construct by which we wish to

describe and forecast people's buying behavior because it is the output of the subsystem of the

shopping preferences. First, a buyer's preferences are only applied to stores that they consider

suitable for shopping for a specific category of goods. Second, as outlet preferences are

described as being relative, they should be assessed using constant sum approaches. Third,

based on unique sad market preference schedules, it is able to evaluate the strength of future

outlet competition structures. Lastly, it is possible to estimate probable market competition

structures, ranging from dominance of a general outlet like the emerging one, depending on

the distribution of consumers' preference schedules for different outlets in different product

classes (Sheth, 1982).


6

Patronage Behavior Theory

This theory was developed by Sheth and Frazier (1981) which consists of a vector of four

behavioral outcomes: planned buy, unplanned purchase, foregone purchase, and no purchase

behavior. It describes the purchasing behavior in relation to a certain product or service from

an outlet. According to the theory, it is brought on by four different types of unforeseen

circumstances that either have no impact or induce or impede a customer's shopping

preferences. The first is socioeconomic setting, which relates to social circumstances like the

presence of family and friends when engaging in buying behavior as well as macroeconomic

variables like inflation, unemployment, and interest rates. The second factor is personal

setting, which pertains to the individual shopper's time, financial, and physical effort

considerations at the time of shopping activity. The third factor is product setting, which is the

marketing strategy used for the product category in the shop, including brand accessibility,

comparative pricing, unexpected sales promotions, and shelf placement of different product

possibilities. The fourth factor is in-store marketing, which describes unanticipated changes in

the store including the presence of a new brand, a change in where existing brands are located,

in-store promotions, and selective sales efforts by salesclerks that the customer could not have

foreseen. It must be emphasized that all four of these elements are unforeseen circumstances

that the buyer could not have foreseen while determining his buying preferences. They

therefore take place in the interval between the setting of buying preferences and intentions

and the actual conduct of shopping (Sheth and Frazier, 1981).


7

Conceptual Framework

Figure 1.3 The Conceptual Framework of the study that will serve as the

foundation of the study and guide for the researchers

The figure shows the relationship between the independent and dependent variables.

The independent variable includes the demographic profile of the respondents. The dependent

variable in the study is the shopping preference on food and beverages of the business

administration undergraduates of Iligan Medical Center College. The result of the dependent

variable of the study is determined by the demographic profile of the respondents that will be

anchored on the theory of Revealed Preference of Paul Samuelson, Shopping Preference

Theory of Jagdish Sheth and Patronage Behavior Theory of Sheth and Frazier.

Statement of the Problem

This study aims to determine the shopping preferences of the business administration

undergraduate students of Iligan Medical Center College on food and beverages. Specifically,

the study would like to answer the following questions:


8

1. What is the demographic profile of the respondents in terms of:

a. Age

b. Gender

c. Year Level

d. Course/Major

2. What is the preferred method of shopping for food and beverages of the

business administration undergraduates in Iligan Medical Center College?

3. What are the factors that affect the shopping preferences of the business

administration undergraduates of Iligan Medical Center College on food and

beverages?

4. What is the significant relationship between online and traditional shopping

based on the response of business administration undergraduates of Iligan

Medical Center College with their shopping preferences?

5. How satisfied are the business administration undergraduates of Iligan Medical

Center College with the food and beverages they bought on their shopping

preferences in terms of its;

a. Seller Service

b. Product Appearance

c. Product Quality

d. Product Suitability
9

Limitations of the Study

This study will focus on determining the shopping preferences of the business

administration undergraduate students of Iligan Medical Center College on food and

beverages. The researchers are dependent on the result of the survey that they will conduct.

The parameter of this research will only be in the Higher Education campus of Iligan Medical

Center College and will be conducted within the 1st semester of the academic year

2022-2023. The respondents of the study will consist of business administration

undergraduate students of Iligan Medical Center College who are officially enrolled in the 1st

semester of the academic year 2022-2023.

Significance of the Study

The purpose of this study is to determine the shopping preferences of the business

administration undergraduate students of Iligan Medical Center College on food and

beverages. The researchers will present the data and results of the study in order to benefit the

following;

The Microbusinesses. The findings of this study will benefit the local businesses near

the premises of Iligan Medical Center College as it will help them identify the

preferences of the business administration undergraduate students of Iligan Medical

Center College on food and beverages; the result of the study will represent the

totality of the Iligan Medical Center College students.

The Business Community. This study will contribute to the business sector of Iligan

City as it will be utilized as a reference for the consumer trends to effectively guide

businesses to plan out and evaluate how they can cater the needs of the consumers.
10

The Future Researchers. The findings of this study may be used in conducting

research that needs an overview of the shopping preferences of the business

administration undergraduate students of Iligan Medical Center College on food and

beverages. Hence, it could serve as a reference for future related studies that share a

common interest with this study.

Definition of Terms

For a better understanding of the study, the terms listed below are defined in the context of

this research.

B2C. Business to consumer

Business. Any endeavor undertaken for the purpose of making a profit.

Commerce. The exchange of goods or services among two or more parties.

DTI. Department of Trade and Industry

E-commerce. Electronic commerce

E-commerce. Any business or commercial transaction that includes the transfer of

financial information over the Internet.

EDI. Electronic Data Interchange

GDP. Gross Domestic Product

GDP. Quantifies the monetary worth of finished products, those used by consumers

which are produced in the nation over a specific amount of time.

Globalization. The development of global relations on all aspects, including

economic, cultural, and political

Preferences. Choosing or special liking for one subject or thing rather than another or

others.
11

PSA. Provincial Product Accounts

Purchasing. The act of buying goods and services from a company or businesses.

Retailers. Sells products like apparel, food, or automobiles directly to consumers

through a variety of channels with the intention of making a profit.

Shopping. An act in which a consumer looks through the products or services offered

by one or more businesses with the possibility to make a purchase.


12

CHAPTER 2

REVIEW OF RELATED LITERATURE

This chapter presents the local and foreign review of related literature and studies on

traditional and online commerce that will help in the understanding of this study that are

sourced from different books, journals, articles and other existing dissertations that can be

utilized in the development of the study.

Related Literatures

Commerce

In the traditional way of doing commerce, most businesses had to compete within a

single industry and often within a specific limited geographical area, but the internet is

breaking all these boundaries such as Amazon.com. The company began as an online

bookstore but quickly expanded into new products and markets such as music, videos, home

improvement supplies (Kaur, 2011). Simpler definitions of e-commerce include the use of

electronic communications and digital. Information technology used to generate, modify, and

redefine commercial transactions partnership between an organization and an individual

aimed at generating value. It can be discussed further. For easier understanding, think of it as

the expansion of existing corporate processes into new ones. digital airspace It can be

considered the most optimistic use of information technology because businesses have been

able to increase internal efficiency thanks to it, and the result has been the expansion of their

activities internationally, overcoming geographic limitations (Mohanty and Nanda, 2020).


13

E-Commerce

Revolution has been ignited by e-commerce, profoundly changing how businesses

acquire and dispense goods and services. Since information is at the core of every economic

activity, it enables traditional business to be done more effectively through new means of

transmitting and processing information. The phrase "web-based business" refers to the

electronic conveyance of business information without the need of paper, such as through

EDI, email, E-Bulletin sheets, electronic cash transfers, and other organizational

developments. It not only automates time-consuming procedures and paper exchanges, but

also helps businesses transform their conventional business model and make the move to a

totally electronic environment (Bajaj and Nag, 2000). According to Tetelman (Na),

organizations use vital apps like email to communicate more effectively with their customers

and suppliers. The internet has evolved since the late 1990s into a significant influence in

changing how businesses operate (Wang, 2022). The exchange of information, goods, and

services over computer networks known as electronic commerce (e-commerce), has been

expanding significantly (Kalakota and Whinston 1997). Global e-commerce as a whole

increased by 24.6 percent between 2016 and 2017, and it is anticipated to increase by 141.0

percent between 2016 and 2021 (International Post Corporation, 2017). Recognizing

e-potential commerce to help Philippine firms grow. The Philippine E-Commerce Roadmap,

developed by the Department of Trade and Industry (DTI), aims to increase the e-commerce

sector's contribution to GDP from 10.0 percent in 2015 to 25.0 percent in 2020 (Department

of Trade and Industry, 2014).


14

E-Commerce vs Traditional Commerce

People all over the world are looking for the quickest, simplest, and least expensive

approach to finish a number of our everyday duties as a result of their increasingly busy

lifestyles. As a result of this situation, some people no longer prefer using traditional stores to

make a range of purchases. The biggest advantage of online shopping is that consumers can

make purchases from any location without leaving their homes and can locate whatever they

require by simply typing a few phrases. The significance of e-commerce in peoples' daily lives

is examined in this essay. In order to accomplish this, the article looked at secondary data

sources and performed a sample survey. It should be noted that the survey respondents are

from a variety of nations in Europe, the Americas, and Asia, and that the research is being

conducted in a global setting. The results of this study reveal that customers are still dubious

about the reliability of online purchases, the acceptability of payment options, and the use of

personal information collected by online merchants (JimenezD., ValdesS., & SalinasM.

(2019).

Environmental & Economic Effect

A new method of marketing and selling numerous things, including books, has been

made possible by the development of the Internet and e-commerce. It is still unknown how

this change in retailing will affect costs and the environment as a whole. The energy and

packaging materials consumed by the logistics networks for product fulfillment and delivery

are some major problems of the new e-commerce business models, even while reductions in

stocks and returns generate significant environmental benefits. This study evaluates the costs

and environmental impacts of various delivery strategies while analyzing various logistical

networks. The analysis system boundaries are what define the overall evaluation of the
15

economic and environmental impacts of e-commerce in the book retailing industry.

E-commerce logistics are less expensive and have less of an impact on the environment,

especially when private automobile trips for shopping are taken into account. For best-selling

books, the return (remainder) rate is 35%. Costs and environmental impacts of the two

distribution options are equivalent when the need to return books is excluded (Scott

Matthews, H., Hendrickson, C. T., & Soh, D. L, 2001).

Related Studies

E-commerce in India

Rashmi Bansal (2013) examined the various sociocultural elements that influence the

growth of e-commerce in India in relation to the global context. Geographical regions,

customs, the rural-urban divide, regional languages, transportation, and logistics are among

the topics discussed. Time Savings, the convenience of buying at home, the availability of a

wide range of products online, and the sheer volume of consumers were some of the

numerous factors highlighted as supporting e-commerce. In the last several years, B2C

e-commerce in India has grown astronomically. The ability to offer a secure environment for

online purchasing and transactions is one of the primary factors contributing to ecommerce's

rising prominence (Grewal, Himani & Shivani, 2012). The Growing B2C online purchasing

popularity has created a number of new obstacles for e-commerce firms. Studying consumer

behavior toward online buying in a B2C setting is crucial to better understanding the

prospects of the B2C e-commerce business. The framework that encourages a client's

intention to make an online purchase is known as the online buy intention of the customer

(Salisbury et al., 2001). The factors that influence a customer's decision to make a purchase
16

were divided into three categories: those of the product, those of the website as a sales

channel, and those of the consumer (Chang et al., 2005).

Product Categories

According to Tulay Girard et al., (2002) products are divided into four categories

based on a survey of the literature on product classification: search products, two different

experience product categories, and credence products. Through self-administered surveys,

information from adult Internet users was gathered in two stages. The results of their study are

consistent with the hypothesis that consumers' preferences for online purchases are

considerably influenced by product classes. Aspects of online retailers were discovered to be

crucial as well. The results also show that consumers' preference for particular product

categories in online purchases is greatly influenced by how much weight they give to Internet

store qualities.

Influence of COVID-19

In the study conducted by Matz (2021), their study aimed to Identify the influence of

Covid-19 on the retail industry's digitalization process as well as how it affected the

consumers' decision to shop online versus offline. Furthermore, their research identifies key

drivers that motivate customers to shop online as opposed to offline. Convenience seems to be

the main driving force behind online shopping. The data also includes elements that influence

consumers' decisions to shop in brick and mortar businesses, such as physically inspecting the

desired goods.
17

Internet and Consumers

Dang et al., (2018) study aims to examine how the Internet has changed consumers'

food-buying behavior and identify its associated factors; consumers’ concern about food

safety information of online food products. Their data revealed Convenience and price were

the two main factors affecting food purchases made online (69.1% and 59.3%, respectively).

just a third of participants made their product selections based on reliable information on food

safety certification or country of origin. The expiration date (51.6%) was a worry for the

majority of participants, whereas brand Information on food licensing (9.8%) was frequently

overlooked (11.3%). People who were (1) feminine, (2) heavily impacted by online

relationships, and (3) had trouble performing daily tasks more inclined to look for food

products online. These findings result in useful recommendations for customers buying their

chosen food goods online, for online food retailers, and for the Vietnam's government to enact

the necessary legislation to regulate the sale of food goods online.

Consumer decision-making

A study conducted by Moutusy Maity and Mayukh Dass (2013) examines how

consumer decision-making and channel selection are impacted by media richness, and it bases

its findings on the media richness theory, task-media fit theories, and cognitive cost

(behavioral decision theory). Three tests' results show that customers like medium- and

high-media-richness channels for making complicated decisions, such as e-commerce and

in-person experiences. According to research, customers are more likely to make

straightforward decisions while using low-media-richness channels (like m-commerce). The

results also show that the influence of media richness on perceived channel-task fit,
18

post-purchase appraisal, and channel choice is moderated by product type. Managers should

find these insights useful in managing content across many media.

E-Commerce Evaluation

According to the study conducted by Chung-Shing Lee (2001), the use of the internet

for business or commerce goes beyond simply sustaining or improving current company

operations. Instead, e-commerce represents a paradigm change. It is a "disruptive" innovation

that is fundamentally altering the way that business has always been done. Because of the

completely different operating principles and procedures that apply in the digital economy, the

business is growing so quickly. A common rule in e-commerce is that there is almost no such

thing as a simple prescription or a proven business or revenue model for businesses even in

the same industry. In these circumstances, an analytical framework is necessary to support

strategic managers and planners for e-commerce in identifying the crucial success criteria

when developing e-commerce business models and plans. The theories of transaction costs

and switching costs serve as the foundation for the analytical approach used in this study. The

creation of this framework also makes use of economies of magnitude and scope on both the

supply and demand sides. Additionally, strategies and models for generating revenue from

online sales are covered. This paper addresses the five crucial steps for success in e-commerce

based on the analytical framework created by this research. They are: redefining competitive

advantage; reevaluating business strategy; reexamining established business and income

models; redesigning the company and website; and reinventing customer service. The

framework can be used by strategic managers and e-commerce planners to assess and analyze

the key elements of effective e-commerce.


19

Metric Value of E-commerce

According to the study conducted by Kevin Zhu and Kenneth L. Kraemer (2002), the four

dimensions of the e-commerce capability metrics are information, transaction, customisation,

and supplier connection. For reliability, substance, and construct validity, these measurements

have undergone empirical validation. Using information from 260 manufacturing companies

split into high IT-intensity and low IT-intensity sectors, we next looked at the nomological

validity of these e-commerce indicators in terms of their links to firm performance. A number

of hypotheses were established and were based on the dynamic capabilities perspective and

the resource-based theory of the company. Empirical analysis discovered a significant

relationship between e-commerce capability and some measures of firm performance (such as

inventory turnover) after adjusting for variations in industry effects and firm size. This finding

suggests that the proposed metrics have been shown to be useful for capturing e-commerce

effects. However, our data revealed that while there is an opposing association for

technological companies, e-commerce tends to be linked to rising cost of items sold for

traditional manufacturing companies. This outcome appears to emphasize the importance of

resource complementarity for the economic value of e-commerce; for traditional enterprises to

benefit from e-commerce, there needs to be improved alignment between e-commerce

capacity and their current IT infrastructure.

Impact of E-commerce on Supply Chain

In the study of Golicic, S.LDavis, D.F McCarthy, T.M. and Mentzer, J.T. (2002), A

qualitative study was conducted with eight e‐commerce companies in order to construct

theoretical relationships with which to develop a grounded theory of the impact of

e‐commerce on managing supply chain relationships. The e‐commerce environment was


20

perceived as highly uncertain, stemming from increased information visibility and dynamic

market structures. A stronger emphasis on relationship management as part of business

strategy enables managers to manage uncertainty better. Interestingly, increased information

does not decrease the perception of uncertainty, but creates more uncertainty. As logistics is

the function often involved with both information and relationship management within the

supply chain, it may prove to be invaluable in helping firms succeed in this dynamic

environment.
21

CHAPTER 3

RESEARCH DESIGN AND METHODOLOGY

This chapter describes the research design and methodology utilized in the study, such

as the research locale, sampling procedure, instrument used, data gathering procedure,

statistical tool, and ethical consideration.

Research Design

This study will utilize quantitative research methods specifically

descriptive-correlational. This method is efficient in determining the needed data in the study

as it will provide a reasonably accurate representation of what is happening at any particular

time and will facilitate developing predictions and testing for predicted relationships between

and among the variables in which we can evaluate these relationships in situations from daily

life.

Research Locale

The study will be conducted in Iligan City Medical College located which is situated

along the Rotonda of San Miguel Village, Palao, Iligan City which is just a few hundred

meters away from City Hall. Iligan Medical Center College is a private, non-sectarian and

non-political learning institution in Iligan City, Philippines.  Figure 2 shows the satellite image

of the study area. The photo was taken using Google Maps Satellite.
22

Figure 2. Map Location of Iligan City Medical College via Google Map

Research Participants

The respondents of this study consists of first year to fourth year business

administration students from Iligan Medical Center College who are officially enrolled in the

first semester of the Academic Year 2022-2023. In this study, stratified random sampling will

be utilized by the researchers. In this type of sampling method, a sample is acquired by

dividing the population elements into groups of sample units called strata (Ahmed, 2009). The

majorial category of the business administration undergraduate students will serve as its

stratification, which consists of the Financial Management, Marketing Management and

Human Resource Management. Through this sampling technique, the representation of

particular strata within the population can be improved, as well as ensuring that these strata

are not over-represented (Lund Research Ltd, 2012).


23

Research Data Gathering Procedure

After acquiring all the required formal permissions, the researchers will then begin the

collection of data using survey methods by gathering all of the names of the students that are

part of the population. A random set of names will be selected from the list. Due to the

limitations brought about by the current pandemic, data gathering will be done online. Hence,

after gathering the list of names comes distribution of the online questionnaires (via Google

forms) that will be done through Facebook Messenger. The researchers will be allotting one

month to compile and gather all the data needed. Participants who will complete the

questionnaire and all data valid are to be summarized, analyzed and interpreted in this study.

Research Instrument

The research instrument that will be used in this study is a researcher-made

questionnaire. The first part of the questionnaire will contain the demographic information of

the respondents which will include the age, sex and year level. The second, third and fourth

part of the questionnaire will contain questions that will assess the respondent’s shopping

preferences on food and beverages. The researcher-made questionnaire will be presented to

the professor in-charge for approval of each question’s validity and reliability. Then, a pilot

test of the questionnaire will be conducted among random 10 respondents from the business

administration undergraduate students of Iligan Medical Center College.

Statistical Tool

To achieve the objectives of the study, the statistical tools that will be used are both

descriptive and inferential statistics.


24

The researcher will use descriptive statistics, which is the organizing and summarizing

of collected data into graphs and numbers, to analyze the data gathered and provide basic

information and relationships between the variables. The researcher will use the following

statistical tools: Mean, Frequency, Percentage Distribution, and Standard Deviation. This will

be utilized to present the data in order to answer the first, second, third and fifth problem

statements.

Inferential statistics, on the other hand, uses data from a sample to draw conclusions or

make generalizations about a population. This will be needed to process the data in order to

answer the fourth problem statement. The data will be evaluated to determine if there is a

relationship between the independent variables (demographic profile of the respondents) and

the dependent variable (shopping preferences on food and beverages).


25

References

➔ Philippines Statistics Authority. (2021, December). City of Iligan’s Economy Grows in

2020 by 1.4 Per (PR-2021-11).

http://rsso10.psa.gov.ph/system/files/Press-Release-Results-Iligan-City.pdf

➔ Tribdino, R. G. B. (2022, February 15). Online shopping, deliveries increase amidst

pandemic. Malaya Business Insight | The Online Version of Malaya Business Insight.

Published at the Same Time with the Same Content for the Major Sections. Retrieved

August 29, 2022, from

https://malaya.com.ph/news_special_feature/online-shopping-increases-17-amidst-pan

demic/

➔ Revealed preference theory | economics. (n.d.). Encyclopedia Britannica. from

https://www.britannica.com/topic/revealed-preference-theory

➔ An integrative theory of patronage preference and behavior. (n.d.). EconBiz. from

https://www.econbiz.de/Record/an-integrative-theory-of-patronage-preference-and-beh

avior-sheth-jagdish/10002821089

➔ Research Gate . . (n.d.-b). Retrieved September 27, 2022, from

https://www.researchgate.net/publication/272744295_An_integrative_theory_of_patro

nage_preference_and_behavior

➔ Mohanty, S., & Nanda, B. (2020). E-commerce: Evolution, present status and future

prospects miss Swetta ... E-Commerce: Evolution, Present Status And Future

Prospects. Retrieved from http://www.autrj.com/gallery/28-aut-april-4092.pdf

➔ Kaur, G. (2011). Traditional Commerce Vs. E- Commerce. Retrieved from

https://d1wqtxts1xzle7.cloudfront.net/61082298/E-Commerce-concept-and-legal-regul
26

ation-in-modern-economic-conditions-1544-0044-22-SI-2-35720191031-44661-1j79o

gu-with-cover

➔ Tulay Girard, T. G., Silverblatt, R., & Korgaonkar, Pradeep. (2002, October 1).

Influence of Product Class on Preference for Shopping on the Internet.

https://academic.oup.com/jcmc/article/8/1/JCMC815/4080402.

➔ Wang, X. (2022, August 21). Comparing Traditional Commerce to E-Commerce and

IoT and the Understanding of Trust for the Consumer. Retrieved from

https://www.hindawi.com/journals/wcmc/2022/1811984/

➔ The Literature Review Of The Consumer Behavior Determinants And The Online

Shopping Behavior Model Under The Prospects Of B2c E – Commerce. (n.d.).

Retrieved October 8, 2022, from https://www.researchgate.net/profile/Vipin-Jain

13/publication/344606452_the_literature_review_of_the_consumer_behavior_determi

nants_and_the_online_shopping_behavior_model_under_the_prospects_of_b2c_e_-C

ommerce/Links/5f83fd2e458515b7cf79ea7b/The-Literature-Review-Of-The-Consume

r-Behavior-Determinants-And-The-Online-Shopping-Behavior-Model-Under-The-Pro

spects-Of-B2c-E-Commerce.Pdf

➔ Dang, Tran, B. X., & Nguyen, C. T. (2018, May 14). Anh Kim. Consumer Preference

and Attitude Regarding Online Food Products in Hanoi, Vietnam.

➔ Maity, M., & Dass, M. (2014, May). Consumer decision-making across modern and

traditional channels: E-commerce, m-commerce, in-store. Decision Support Systems,

61, 34–46. https://doi.org/10.1016/j.dss.2014.01.008


27

➔ Lee, C. (2001), "An analytical framework for evaluating e‐commerce business models

and strategies", Internet Research, Vol. 11 No. 4, pp. 349-359.

https://doi.org/10.1108/10662240110402803

➔ JimenezD., ValdesS., & SalinasM. (2019). Popularity Comparison between

E-Commerce and Traditional Retail Business. International Journal of Technology for

Business, 1(1), 10-16. Retrieved from

https://nstudy.co/index.php/journal/article/view/132

➔ Kevin Zhu & Kenneth L. Kraemer, (2002) e-Commerce Metrics for Net-Enhanced

Organizations: Assessing the Value of e-Commerce to Firm Performance in the

Manufacturing Sector. Information Systems Research 13(3):275-295.

https://doi.org/10.1287/isre.13.3.275.82

➔ Scott Matthews, H., Hendrickson, C. T., & Soh, D. L. (2001). Environmental and

Economic Effects of E-Commerce: A Case Study of Book Publishing and Retail

Logistics. Transportation Research Record, 1763(1), 6–12.

https://doi.org/10.3141/1763-02

➔ Golicic, S.L., Davis, D.F., McCarthy, T.M. and Mentzer, J.T. (2002), "The impact of

e‐commerce on supply chain relationships", International Journal of Physical

Distribution & Logistics Management, Vol. 32 No. 10, pp. 851-871.

https://doi.org/10.1108/09600030210455447
28

APPENDIX A: Survey Questionnaire

ONLINE VS TRADITIONAL COMMERCE: A STUDY ON ILIGAN MEDICAL


CENTER COLLEGE’ BUSINESS ADMINISTRATION UNDERGRADUATE
STUDENTS’ SHOPPING PREFERENCE ON FOOD AND BEVERAGES
S.Y. 2022-2023

Part I. Demographic Profile

Age Year Level

Below 18 years old 1st year


18 – 19 years old 2nd year
20 – 21 years old 3rd year
22 – 23 years old 4th year
Above 23 years old
Major
Sex
Financial Management
Male Marketing Management
Female Human Resource Management

Part II. Shopping Preference

1. How often do you shop for food and beverages in a week?


Less than two times
Two to three times
Four to five times
Six to seven times
More than seven times

2. In a week, how often do you physically visit restaurants and shop for your food and
beverages physically?
Always
Often
Sometimes
Rarely
Never
29

3. In a week, how much do you spend (on average) shopping for food and beverages in
physical stores?
Less than 200 pesos
200 to 400 pesos
500 to 700 pesos
800 to 1000 pesos
Above 1000 pesos

4. In a week, how often do you use online applications to shop for your food and
beverages?
Always
Often
Sometimes
Rarely
Never

5. In a week, how much do you spend (on average) shopping for food and beverages in
online stores?
Less than 200 pesos
200 to 400 pesos
500 to 700 pesos
800 to 1000 pesos
Above 1000 pesos

Part III. Factors That Affect The Shopping Preferences

1. Select one advantage that you like most about the physical shopping
You can take a closer look of the product
You get the product immediately
You can test the product before before purchase
You can ask questions to the seller
You will know where does the product comes from

2. Select one disadvantage that you dislike most about the physical shopping
You have to travel to the physical store
You will lose a lot of time when shopping
30

You will pay for transportation in going to the stores


You will experience pressure from the sellers

3. Select one advantage that you like most about the online shopping
You can easily compare the prices of the products
You can choose from many varieties of the products
You can buy the product whenever you want
You can avail discounts and e-vouchers

4. Select one disadvantage that you dislike most about the online shopping
You can’t see the product physically
You must wait for the product to arrive
You will experience high possibility of inconvenience in receiving orders
You will need to pay higher prices for delivery fees
You will be at risk of online fraud

Part IV. Satisfaction Rating

1. How satisfied are you with the food and beverages that you have bought on your
shopping preference in terms of;

a. Seller Service c. Product Quality


5 (Excellent) 5 (Excellent)
4 (Good) 4 (Good)
3 (Fair) 3 (Fair)
2 (Poor) 2 (Poor)
1 (Bad) 1 (Bad)

b. Product Appearance d. Product Suitability


5 (Excellent) 5 (Excellent)
4 (Good) 4 (Good)
3 (Fair) 3 (Fair)
2 (Poor) 2 (Poor)
1 (Bad) 1 (Bad)

You might also like