Proposal

Of
Research Methodology

CONSUMER’S ATTITUDE TOWARDS E-SHOPPING

Submitted to:
Module Leader: Mr. PRABIN GYAWALI
Module Name: Research Methodology
Module Code: BM001-3-M-RM
Sky International College

Submitted by:
Renuka Shrestha
Student ID: NPB000169
MBA, 2nd Semester
Intake Code: NPSMF2001MBA

[August, 2021]
 Table of Contents
CHAPTER ONE..............................................................................................................................1

INTRODUCTION...........................................................................................................................1

1.1 Background of the study...................................................................................................1

1.2 Problem Statement............................................................................................................3

1.3 Objectives / Purpose of the study......................................................................................4

1.4 Research Questions...........................................................................................................4

1.5 Research Hypotheses........................................................................................................5

1.6 Significance of the study...................................................................................................5

1.7 Scope of the study............................................................................................................5

1.8 Limitations of the study..................................................................................................6

1.9 Definition of Key terms....................................................................................................6

CHAPTER TWO.............................................................................................................................8

REVIEW OF LITERATURE..........................................................................................................8

2.1 Previous Studies (concepts and relationships).......................................................................8

2.1.1 Electronic Shopping (e-shopping)...................................................................................8

2.1.2 Consumer’s attitude.........................................................................................................8

2.2 Theories and Models............................................................................................................12

2.3 Theoretical Framework........................................................................................................13

2.4 Research gaps and methodological issues...........................................................................13

CHAPTER THREE.......................................................................................................................15

METHODOLOGY........................................................................................................................15

3.1. Research Philosophy...........................................................................................................15

3.2 Research Approach..............................................................................................................15

3.3 Research Strategy.................................................................................................................15

 3.4 Research choices..................................................................................................................15

3.5 Time Horizon.......................................................................................................................16

3.6 Data......................................................................................................................................16

3.7 Instrumentation / Questionnaire...........................................................................................16

3.8 Sources of data collection (Internet)....................................................................................16

3.9 Sampling (Methods, population, frame, size)......................................................................17

3.10 Data collection procedures.................................................................................................18

3.11 Data Analysis.....................................................................................................................18

3.12 Ethical Consideration.........................................................................................................18

Reference.......................................................................................................................................20
 Table of Figure
Figure 1 : Study's Theoretical Framework.....................................................................................13
 CHAPTER ONE

INTRODUCTION

1.1 Background of the study

In the past few days, the way people having shopping has transformed drastically and upgraded.

Those were the days where consumer used to shop at physical store like shopping malls, retailers

shop and this practice still does exits. In the era of modern technologies, consumers are able to

buy the products from wherever, whoever and whatever via internet using several websites and

social media (Al-Debei et al., 2015). Likewise, this type of shopping approach can come in

numerous names such as: internet shopping, online buying attitude as well as e-shopping these

all can be signifying to the process of buying products and services via internet using the several

websites as well as social media (Jawa & Chaichi, 2015).

Similarly, technology is dominant in the twenty-first century. It has transformed people's

perspectives and lifestyles. Likewise, every day new and amazing inventions are made. One such

innovation is the Internet. In our day-to-day lives, the internet plays a critical role. The Internet

allows us to have the whole world at our fingertips. Additionally, the world has evolved into a

global community. Meanwhile, e-shopping has become increasingly popular in recent years

(Nabot et al., 2014).

Additionally, the act of purchasing goods and services from merchants who sell on the internet is

referred to as e-shopping. It was founded in 1979 by entrepreneur Michael Aldrich . It is often

used as a platform for communication and electronic commerce, with the goal of enhancing or

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improving the value, efficiency, and attractiveness of providing consumer benefits and better

satisfaction. As a result, e-shopping is becoming more convenient and widespread by the day

(Jusoh & Ling, 2012). E-shopping has expanded rapidly in terms of the many benefits associated

with purchasing on the internet, such as lower purchase and search costs as opposed to other

modes of shopping. Consumers can purchase quicker, have more choices, and place orders and

services at a lower cost when they visit e-shop (Koyuncu & Bhattacharya, 2004). As a

consequence, marketers have thoroughly considered consumers' attitudes and behaviors toward

online shopping and have spent billions of dollars to make online shopping more accessible to all

groups.

Consumer’s attitude towards e-shopping reflects the psychological state of consumers when

making purchases through online. Similarly, there are five stages which make up the phase of

purchasing consumer’s attitude. For example, consumer first recognizes a need or desire before

defining the conditions required to meet the need. Second, collect data and consider your

choices. They will look to make a purchase until they have a better understanding of their

choices, which will involve looking for or negotiating the best possible price. Finally, consumers

will consider a number of factors that limit or impact their ultimate decision and they will assess

whether or not they made the right choice.

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1.2 Problem Statement

Today’s world has been progressing continually and consequently many things have changed

with the time. In this new world of shopping, advertisers are becoming more interested in

understanding what drives people to buy online (Sultan & Uddin, 2011). Additionally, e-sellers

have been forced to gain a competitive advantage in the field of virtual shopping due to fierce

competition. Marketers must understand customer attitudes toward online shopping in order to

achieve a competitive advantage in the marketplace (Al-Debei et al., 2015).

Since, e-shopping is a new medium where the consumer’s attitude in this area is very complex in

comparison to traditional way. So, it’s equally essential to figure out what factors drive

consumers to buy online (Nabot et al., 2014). There are several factors that affect consumers'

decision to buy online in order to arrive at a purchasing decision. Likewise, the factors that

influence e-shopper’s attitude based on demography in term of age, gender, occupation,

education which is equally crucial in determining their strategy. For retailers to complete in the

market and make their products more competitive, these factors are critical (Chanaka, 2004).

However, I believe that in the Nepalese business and the implementation of such innovations in

such business have remained low and its use has not resulted in significant improvements.

Similarly, the consumers are not satisfied with the services provided given by Nepalese online

shopping. This is true that consumer in the city of Nepal is still unknown about e-shopping and

e-shopping has faced many issues regarding like low quality products, late delivery, transaction

problem like payment system. Furthermore, in order to meet customer needs, it's critical to

evaluate and recognize the factors that motivate them to buy online. Lastly, because of this

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problem the main motto of this research is to fill the dispatched area by identifying consumer’s

attitudes towards e-shopping.

1.3 Objectives / Purpose of the study

These objectives mentioned below are the brief idea for conducting this study. Without

objectives, research is pointless and worthless, with no proper outcomes or a clear direction.

Similarly, the study's main purpose is to discover and examine the elements that influence

customers' decisions to shop online. This study provides knowledge about the Consumer’s

attitude towards e-shopping.

i. To determine the effect of convenience on consumer’s attitude.

ii. To find out the impact of website design/ features on consumer’s attitude.

iii. To measure how the time saving impact on consumer’s attitude.

iv. To highlight the effect of security towards consumer’s attitude.

1.4 Research Questions

The following research questions are based on variables of consumer’s attitude towards e-

shopping.

i. What is the relationship between convenience and consumer’s attitude?

ii. Is there any positive response towards website design / features on e-shopping?

iii. How does the time saving impact on e-shopping?

iv. What highlights the effect of security towards consumer’s attitude on e-shopping?

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1.5 Research Hypotheses

The hypotheses of this research are represented below.

i. H1: There is a significant relationship between convenience and attitude of consumers.

ii. H2: There is a positive correlated between Website design / Features and consumer’s

attitude towards e-shopping.

iii. H3: There is a significant relationship between time saving and attitude of consumers.

iv. H4: There is a positive correlated between security and consumer’s attitude towards e-

shopping.

1.6 Significance of the study

The main importance of the present study is to identify which factors that influence consumer’s

attitude for e-shopping. Due to the advancement of e-shopping, Consumers would have more

details and options to compare products and prices, as well as more options, convenience and the

ability to find something in online. Similarly, research is also required in order to assist

businesses in developing online marketing strategies that would improve the online buying

experience.

1.7 Scope of the study

The primary scope of this study is to determine characteristics that influence consumers' online

shopping attitudes. Likewise, researchers will also look at how customers form such attitudes

with the benefit of models who are real online shoppers. It helps to know the attitude of

consumer while shopping.

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1.8 Limitations of the study

Mostly, every study has some limitations and here is our own study. The time limit is one of the

study’s limitations. Although time and resources are two of the researcher’s constraints,

convenience sampling is useful and it seemed appropriate for this study because we were

unaware of the e-shoppers.

i. The time and resources are limited in the study’s limitations.

ii. Although, convenience sampling is useful and it seemed appropriate for this study

because we were unaware of the e-shoppers.

iii. E-shopping individuals are included in the sample size i.e. 385.

iv. The Statistical Package for Social Sciences (SPSS) version 23 with MS Excel and MS

Word were only used.

v. This study is based in the Butwal city.

1.9Definition of Key terms

The following are the representations of main words of this study are given below.

Consumer’s attitude: The psychological state of consumers when making purchases on the

Internet is linked to their e-shopping attitude. One of the most appealing aspects of e-shopping is

that we can purchase almost everything we want without ever leaving our residence (Baba &

Siddiqi, 2016).

Convenience: One of the primary motivations driving consumer’s attitude of e-shopping has

been convenience. Consumers' appetite for convenience has grown as they devote less time to

shopping and more to other activities (Jiang et al., 2011).

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Website design/ features: The design of a website is one of the most important influencing

factors in e-shopping. The way a customer feels about a website is largely determined by its

design (Shergill & Chen, 2005).

Time saving: Time can be saved and the consumer's effort can be reduced by shopping online.

When it comes to buying items, e-shopping saves time and the time taken to visit a traditional

store is also decreased.

Security: Consumers are concerned about online safety. Consumer's attitude of online

transaction protection includes the security of payment systems as well as the privacy of

financial details from unofficial and unauthorized access.

CHAPTER TWO

REVIEW OF LITERATURE

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2.1 Previous Studies (concepts and relationships)
2.1.1 Electronic Shopping (e-shopping)

E-commerce is used to strengthen relationships with customers and business partners. According

to Koyuncu and Bhattacharya (2004) mentioned that Online shoppers want to find the most

relevant information in a few buttons, such as affordable brands, best pricing deals, product

specifications, and customer word-of-mouth. Furthermore, people are doing online business, that

has made trading easier and makes things better and more creative. The internet opens new

opportunities for business promotion (Puranik & Bansal, 2014). Consumers on the internet are

constantly looking for new goods, new attractiveness, and, most importantly, price consistency

with their budget. The internet is the perfect way to save time and money by shopping online at

home or anywhere within their budget range. Online shoppers have no restrictions when it comes

to shopping (Al-Debei et al., 2015).

2.1.2 Consumer’s attitude

Jawa and Chaichi (2015) asserted that consumer’s attitude has always been of great concern to

marketers. The way that attitude of consumer may contrast on depending upon internal and

external factors such as, the characteristics, psychological and emotional of an individual drives

that impact decision-making and actual purchasing behavior. Similarly, according to Chanaka

(2004) summarized that the attitude of consumers towards e-shopping relates to their

psychological approach in terms of making internet transactions. It allows marketing managers

to predict the growth of e-shopping and determine the potential growth of online business.

Additionally, the quality of e-shopping gives a consumer great advantage. A study reveals that

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consumer’s display a positive or negative attitude towards shopping website (Shafizadeh et al.,

2013).

2.1.2.1 Convenience
The convenience factor means that it is faster to browse or search online for details than

traditional retail shopping. According to Darian et al. (1992) explained that in terms of

convenience, online shoppers have many advantages, such as less time use, flexibility, almost no

physical effort, etc. In addition, Bhatnagar and Ghose (2004) claims for Convenience is one of

the most significant benefits of e-shopping. Moreover, in terms of shopping at any time and

getting packages of goods delivered at the door step, the biggest reason for online buying is to

convince (Robinson et al., 2007). Consumers can quickly search the product catalog online, but it

is difficult to visit physically and time consuming if the user normally searches manually for the

same product or item in a conventional store (Javadi, 2012). Convenience has always been a key

factor in e-shopping for consumers. Consumers have believed that customer service in online

shopping would be faster compared to offline stores and timely delivery on their convenience

time. According to Wani (2016) mentioned that the correlation between convenience and the

purpose of purchasing online is significantly positive. In addition, there are four items of

Convenience that are First, I get on time delivery. Second, detail information is available while

e-shopping. Third, the products are available anytime. Fourth, it is easy to choose and make

comparison with other products.

H1: There is a significant relationship between convenience and attitude of consumers.

2.1.2.2 Website design / Features

A study survey by Liang and Lai (2002) concluded that the standard of web design or website

functionality has a direct effect on users in e-shopping. Similarly, in the same year the researcher

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Reibstein (2002) explained that the survey of nearly 100,000 online shoppers shows that website

design has been rated as an essential part for e-shopping. A study by Gauzente (2004) said that it

will direct customers to successful purchases and encourage customers to revisit the website if

the website is built with quality features. Furthermore, one of the main factors affecting online

shopping is the design of websites and online shopping practices. Design of websites,

reliability/fulfillment of websites, customer support of websites and the most appealing features

influencing the consumer's view of online shopping are website security/privacy (Hausman &

Siekpe, 2009). Moreover, a study presented by Jha (2018) highlights an important relationship

between online shopping and website features. In addition, the higher the standard of the

website, the higher the user expects to buy online. The quality of web design has important

effects on the choice of electronic stores for consumers (Agarwal & Wu, 2015). The items of

website design/ features are first, the website design helps in searching the products easily.

Second, to purchase from website that provides safety and ease to navigation and order. Third,

the website layout helps in searching and selecting the right product and last, it provides the

quality of information.

H2: There is a positive correlated between Website design / Features and consumer’s attitude

towards e-shopping.

2.1.2.3 Time Saving

Time savings are one of the most significant drivers of e-shopping. Buyers can save time and

reduce effort by shopping. In addition, for those customers who have already encountered online

grocery shopping, the time saving factor was stated to be the primary reason. So, it is not

possible to ignore the value of the time saving factor (Morganosky & Cude, 2000). Time saving

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is not the driving factor for customers to buy online since getting products or delivery takes time

(Rohm & Swaminathan, 2004). Furthermore, according to Hsiao (2009) explained that one

potential reason is that online shopping saves time when buying items and may eliminate the

time needed to drive to the traditional store. However, some respondents believe that the delivery

of products or services through online shopping also takes time. The time saving items are first,

e-shopping takes less time to purchase. Second, e-shopping doesn’t waste time. Third, it takes

less time in evaluating and selecting a product while e-shopping.

H3: There is a significant relationship between time saving and attitude of consumers.

2.1.2.4 Security

Security is another dominant factor that affects e-shopping for consumers. However, due to

credit fraud, privacy considerations, non-delivery risk, post-purchase service, and so on that

many internet users avoid e-shopping. Yet, online shopping transaction security has gained

interest. Moreover, a study by Bhatnagar and Ghose (2004) mentioned that security has been one

of the factors that prevent web as they say that there is a wide sector of internet shoppers who do

not like online transactions because of their understanding of the safety of their delicate about

information. Additionally, Chang & Chen (2009) concluded that with modern technologies and

regular online shopping, safe online shopping on the internet as a trustworthy one Channel for

Shopping. Security has been a crucial success factor for e-shopping. Similarly, secure and safe

cash and credit card details transactions increases trust and lowers transaction risk (Meskaran et

al., 2013). The items of security are available as first, it feel safe and secure. Second, e-shopping

protects my security. Third, e-shopping helps to shop online from a trustworthy website.

H4: There is a positive correlated between security and consumer’s attitude towards e-shopping.

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2.2 Theories and Models

Theory of planned behavior (TPB) introduced by Icek Ajzen (1988, 1991) as a follow-up to the

Theory of Reasoned Action. This is a crucial idea since it connects attitudes and behavior. The

three factors drive Consumer behaviors which are Behavioral Beliefs, Normative Beliefs and

Control Beliefs. It enables one to realize how one can influence people's conduct. This theory

will be useful in determining how consumers' shopping behavior has shifted to online purchases

rather than physical store purchases.

The Technology Acceptance Model (TAM), established by (Fred Davis in 1989 and Richard

Bagozzi and Warshaw in 1992), is an information management theory that aims to investigate

how customers receive certain systems. This theory was chosen by the authors because it is a

regularly utilized theory for researching customer attitudes toward internet buying. Since, online

buying is a relatively new technology; we will study many factors that influence consumers'

attitudes regarding online purchasing, such as website design/features, convenience, and security.

TAM will assist us in better studying how people form attitudes toward specific systems, such as

online purchasing in our situation. Last but not least, it is a development of the TRA (Theory of

Reasoned Action).

2.3 Theoretical Framework

Research Framework highlights the independent variable in term of convenience, website design/

features, Time Saving and Security. In other words, dependent variable is based on Consumer’s

attitude. Most academic researcher uses a research framework at the outset because it helps the

researcher to clarify his/ her research question and aims.

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 Figure 1 : Study's Theoretical Framework

Independent Variable Dependent Variable

Convenience

Website design/ features Consumer’s attitude

Time Saving

Security

Source: Sultan & Uddin, 2011)

2.4 Research gaps and methodological issues

Looking at the scenario of the World, the numerous researchers have been discussed in the

various aspects of consumer attitudes toward online shopping which had undertaken. Likewise,

according to the many researchers from different nations like Jun and jaafar (China), Rahman

(Bangladesh), Nabot (Jordan), Ramachandran et al (UK), Sultan and Uddin (Gotland) reveals

that due to the fierce competition, with this new buying trend online marketers have been pushed

to know the demand of consumer and it’s equally essential to figure out what factors drive

consumers to buy online. They have been clearly identified about the growing importance of e-

shopping

However, in the context of Nepal, the researchers were identified few details on factors that drive

on consumer’s attitude towards e-shopping. These issues have received little attention by the

researcher in today’s competitive world. Likewise, recent studies were about the subjective and

13
heavily applied on primary data but this study uses both primary and secondary data to fill a

research gap.

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 CHAPTER THREE

METHODOLOGY
3.1. Research Philosophy

The positivism philosophy can be emphasized in this research methodology. The way of research

strategy in positivism philosophy that is based on data collection and hypothesis development.

Another fact of this approach is the use of highly structured techniques by positivist researchers.

Furthermore, positivism is based on quantitative data.

3.2 Research Approach

The approach used in this study is deductive because it is based on current theory. It is more

focused on proving a hypothesis therefore; it’s more suitable to dealing with quantitative data.

3.3 Research Strategy

Our research strategy is a survey method. Likewise, survey method means the process of

gathering data from a group of people by asking those questions and recording their answers.

3.4 Research choices

Among the three alternatives of method our research chooses the quantitative method. Similarly,

the quantitative method was used in the study because it is faster than the qualitative method. It

is also applied for better understanding knowledge of our study.

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3.5 Time Horizon

These researches can conclude in a longitudinal study. The participants in this study are followed

for a long time. In order to establish the causes of a change in behavior or perception,

respondents' perceptions, behavior, and attitudes are continuously assessed across time

3.6 Data

To get information, both primary and secondary data are used. Likewise, in this study primary

data was collected directly from the participants who were questioned or to whom the

questionnaires were distributed using these questionnaires. However, secondary data are also

used to collect data in literature review.

3.7 Instrumentation / Questionnaire

In this research, questionnaire has been used as a research instrument to collect the data

accurately. Likewise, it plays a vital role because it offers a low-cost, fast, and effective method

of gathering large quantities of data from a large group of individuals. The questionnaires are

divided into two sections: demographic profile and consumer’s attitude factors. The tool that we

implied in our research is measured by five likert scale i.e. 1) Strongly Disagree 2) Disagree 3)

Neutral 4) Agree 5) Strongly Agree. The Likert is a scale that is commonly used for

questionnaires and mostly used in survey research

3.8 Sources of data collection (Internet)

To avoid sampling error, primary data are applied. Questionnaires were distributed to

respondents to fill out through internet or self- administered. To decrease the chance of

ambiguity, the questionnaire is written in simple language.

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3.9 Sampling (Methods, population, frame, size)

In general, there are two methods of sampling i.e. probability sampling and non-probability

sampling. For this research, we use convenience sampling which is a non- probability sampling

as well as quantitative study. The term "convenience sample" refers to a sample that is readily

accessible to the researcher. It is useful and it seemed appropriate for this study because we were

unaware of the e-shoppers. In addition, it is also known as accidental sampling.

Furthermore, the target population identifies the units for which the survey's results are intended

to be generalized. It is significant to identify target customers in order to determine who will be

used to assess e-shopping. Thus, the targeted populations of this research are those consumers

who uses e-shopping.

A sampling frame is simply the collection of source items from which the sample is chosen.

Likewise, the goal of sampling frames which is to select the specific individuals of the target

population who will be questionnaire in the survey that is also included.

Moreover, the word ‘sample’ size refers to a group of people chosen from the general population

and considered representative of the actual population for that particular research. Sample size is

described as the quantity of data collected from a large group of people. It is a measure for the

number of individual samples taken in a study. The Cochran formula is used to calculate sample

size.

The Cochran formula is: n= Z2pq / e2

Where,

 Z = confidence level
 e = margin of error

17
  p = estimated proportion of the population which has the attribute in question,
 q=1–p

Let’s assume, p = .50, e = .05 and 95% confidence level gives us Z values of 1.96, so we get

((1.96)2 (0.5) (0.5)) / (0.05)2 = 385.

Hence, a random sample of 385 e-shopping consumers is our targeted population.

3.10 Data collection procedures

There are following procedures for data collection which are done through the steps ways. Step

1: identify problems for collecting data. Step 2: set goals for the problems.Step3: .Prepare an

approach and methods. Step 4: collect data. Step 5: Analyze and interpret data.

3.11 Data Analysis

Our study is also survey based research so it would be easy for us to interpret the analysis. As we

can see, this is just a proposal for my research on the topic of "Consumer’s attitude towards e-

shopping." There will be further research for data analysis which is mentioned here. To begin, nn

descriptive analysis the Statistical Package for Social Sciences (SPSS) version 23 with MS Excel

and MS Word were also used which is for statistical analysis of data gathered from study

participants Reliability ensures features based on repeated testing that assess the degree of

stability and ensure that the measurements are error-free. Similarly, a normality test is used to

determine whether the data is regularly distributed or not. Furthermore, to determine the

relationship between variables, co-relation analysis is utilized. Multiple regression analysis can

be used to figure out which of the independent variables has the greatest impact on the dependent

variable.

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3.12 Ethical Consideration

It has been noticed that when performing analysis or acquiring data, ethical considerations are

taken into account.

i. The privacy of participants has been protected.

ii. No one was forced to take part in the study, and they could leave at any time.

iii. The study's goal, objective, and procedures were all communicated clearly to the

participants.

iv. As a result of the study, the respondents have not suffered any physical or psychological

harm.

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