BACC7 2 Thesis

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PAMANTASAN NG LUNGSOD NG SAN PABLO

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THE IMPACT OF ONLINE BUSINESS AS DETERMINANTS ON CUSTOMER

SATISFACTION
A Business Research
Presented to the College of Business Administration
Pamantasan ng Lungsod ng San Pablo
Brgy. San Jose, San Pablo City
In Partial Fulfillment
of the Requirements for the Degree
Bachelor of Science in Business Administration
Submitted by:
Aquino, Shyrelle Kaye M.
Castillo, Lorensli H.
Dequito, Marvin Zeus V.
Estrellado, Raffy
Glorioso, Catherine O.
Javier, Jommel V.
Linatoc, Princess Diane M.
Ramos, Geneva Rose A.
Submitted to:
Prof. Paz Consignado
June 2022
I
ACKNOWLEGEMENT
First and foremost, praise and appreciation to God, the Almighty, for his many blessings
that enabled us to successfully accomplish our research.
We’d also like to express the deepest appreciation to the people who assisted, prayed for,
and guided us in this great accomplishment.
Prof. Paz Cosignado, business research instructor, we thank you for sharing your
knowledge, making ideas to improve this piece of work, and being patient in guiding us through
our study.
Panel member, we appreciate your suggestions for improving our abilities to be more
educated about our subject, as well as your support in reviewing and evaluating our papers.
Friends, we appreciate your support, words of encouragement, and offers of assistance
and assistance in making things easier.
Family, we appreciate your support in motivating us to complete the requirements, to
provide financial support, and being a source of happiness and inspiration.
II
Study On Consumers Problems towards Online Shopping
Abstract
Online shopping is a type of digital commerce wherein consumers use a web browser to buy
products or services directly from a seller via the Internet. Online shopping has risen in
popularity over the years, mainly to the convenience and ease with which consumers may
bargain shop from the comfort of their own home or workplace. Due to the ridiculous client
need, various internet services have become more essential and profitable since the epidemic
started. The primary focus of this study is on the factors influencing customer satisfaction and
loyalty to Online Business Services. When customers purchase items using e - shopping, they do
not actually touch or feel the object, which causes a range of issues. Recognizing the needs of
consumers for online selling has now become a difficulty for marketers. Understanding the
customer attitudes regarding online buying, improving variables that encourage consumers to
shop online, and focusing on factors that influence consumers to purchase online can help
marketers gain an advantage.
Keywords: Pandemic, Consumers, Sellers, Online, shopping, Satisfaction.

III
TABLE OF CONTENTS
PAGE
TITLE PAGE………………………………………………………………………………….….I
ACKNOWLEDGEMENT……………………………………………………………………….II
ABSTRACT…………………………………………………………………………………….III
TABLE OF CONTENTS……………………………………………………………………….IV
CHAPTER I: PROBLEM AND ITS BACKGROUND
Introduction……………………………………………………………………………….……….1
Statement of the Problem………………………………………………………………………….3
Hypothesis ………………………………………………………………………………………...4
Conceptual Paradigm ……………………………………………………………………………..4
Theoretical Framework ……………………………………………………………...……………5
Significance of the Study …………………………………………………………………………6
Scope and Delimitations of the Study …………………………………………………………….7
Definition of Terms ……………………………………………………………………………….8
Conceptual Literature……………………………………………………………………………...9
Research Literature ……………………………………………………………………………...12
CHAPTER II: RESEARCH METHODOLOGY AND DESIGN
Research Design ……………………………………………………………................................15
Sampling Techniques………………………………………………………………….…………16
Research Locale …………………………………………………………….......……………….17
Research Instrument ………………………………………………………….………………….18
Ethical Consideration in Research ………………………………………………………………18

IV
Validation of Research Instrument ………………………………………..…………………….19
Data Gathering Procedures ………………………………………….…………………………..20
Statistical Treatment of Data ……………………………………………………………………21
CHAPTER III: PRESENTATION, ANALYSIS, AND INTERPRETATION OF DATA
Result and Discussion …………………………………………………………………………23
CHAPTEER IV: SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
Summary of Findings ………………………………………………………………………….35
Conclusions ……………………………………………………………………………………37
Recommendations ………………………………………..……………………………………38
Bibliography …………………………………………………….……………………………..39
CHAPTER I
THE PROBLEM AND ITS BACKGROUND
Introduction
The use of the internet has rapidly risen around the world in recent years, and with it has
developed online shopping as a tool used by commercial organizations, individual sellers, and
service providers to maximize growth. Customer satisfaction is critical for achieving stability
and success in every business enterprise, and online purchasing is no different. Even though
customer satisfaction is a global phenomenon, culture, experiences & technology can influence
it. Retailers may be able to influence customers in a specific way if they understand how
customers perceive and assess the products. The purpose of this study paper is to determine the
primary elements or attributes that affect customers, evaluating their total experience when
purchasing on the digital & online platform, and determining their impact on online customer
satisfaction.
The concept of customer satisfaction relates to the influence on each consumer whether
they are satisfied and contented with a product acquired or not, and it also helps to recognize
well how your business developed. You may assess your clients' overall satisfaction with your
services or track individual touch points such as completing a purchase, contacting customer
service using a certain product feature, and so on. It's also a good idea to include open-ended
customer satisfaction survey questions after your clients review you. It allows people to explain
their decision and provides you with concrete feedback. Professionals will also learn what can be
improved in a firm through consumer preferences to boost product purchases.
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On the other hand, customers who shop online do not have the opportunity to physically
touch or feel the product. Online purchasing is connected with both rewards and risks, we
recognize that there is a great deal of danger when purchasing an online goods, whether it will
arrive on time or not is also a problem, and there may be a concern of product size and color as
they may differ in actual view or sense. Occasionally, the ordered goods gets damaged, the many
issues that occur in the online world might impact its organization. That is why we have
proposed in this paper to study how it affects the problems encountered by online consumers
while developing this type of commerce.
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STATEMENT OF THE PROBLEM
The purpose of this research is to determine the perceptions of all customers in San Pablo
City, Laguna. And especially those who do their shopping online. Based on the findings, the
study article will attempt to answer the following questions:
1. What motivates you to shop online rather than in traditional stores?
2. How can purchasing through online shop maximize the time of the customer?
3. What factors might influence respondents (buyers) to make an online purchase?
i. Clear information about the products (providing a reviews)
ii. Convenience of not going to physical stores
iii. Less stress
4. What is your advice on choosing an internet store over a physical store?
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HYPOTHESIS
Online consumer satisfaction is influenced by customer service.
Awareness of customer also acts as an antecedent to fulfilling online customer experience.
People at present share link of the product they like or dislike on the social media platform with
their peers, friends and relatives (Greenhow, 2011).
1. Consumers who experience purchasing in online business will get the higher convenience to
the customers than purchasing in traditional market buying who do not experience the online
purchasing.
2. Consumers who experience purchasing online business or online transaction will get the
higher satisfaction than the customers who did not purchasing online business
CONCEPTUAL PARADIGM
INDEPENDENT VARIABLE DEPENDENT VARIABLE
1. Profile of the Respondents

Stability of an determinants of
1.1. AGE consumers satisfaction within
1.2. GENDER the impact of online business
1.3. SOURCE OF INCOME
2 marketing strategy
2.1 SOCIAL MEDIA
ADVERTISEMENT
2.2 DISTRIBUTION OF
FLYERS
Figure 1. Research Paradigm
Figure 1 shows the relationship of independent and dependent variables of the study, and
it also provide the different elements that can change and affects the dependent variable.
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Theoretical Framework
PRODUCT FEATURE SERVICE FEATURE
PERFORMANCE OF A PRODUCT
AND SERVICES IN RELATIONS OF
THE EXPECTATION
CUSTOMER
SATISFACTION AND
RETENTION
Figure 2. Proposed Theoretical Framework
These factors are compared to their experiences, and this comparison between product
feature and service feature determines a customer’s satisfaction level. This figure is important for
this study: it allows us to determine both the extent to which specific firm discuss the customer
satisfaction and where improvements can be made.
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SIGNIFICANCE OF THE STUDY
This research aims to study the impact of diverse cultures and technology on satisfaction
by determining the extent to which cultural and technological elements influence satisfaction.
This study examines online shopping in different cultures and technology in connection to
customer satisfaction in San Pablo City, Laguna.
For the Students:
The goal of this research is to provide students with a better understanding of what a
marketing plan is. This course will strengthen their capacity to use their knowledge in the
commercial world and in their daily activities.
For the Consumers:
This research will help consumers in understanding their purchase habits when making
an online business transaction. Apart from assisting them in becoming more knowledgeable
about how online business transactions work, it will also enable them to gain a better
understanding of the seller's marketing methods, which will have a significant impact on their
decision to invest in an online business.
For the Retail Industry:
The findings of this study will benefit the retail industry in terms of online business
because they will allow them to determine whether they are fulfilling client satisfaction. They'll
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also know what customers enjoy and which brands to sell to end users or consumers. The facts
gained from this study will pique the interest of consumers. When people are aware of online
products, they can determine whether or not to purchase the item in a true online transaction. A
brand's quality and affordability are both significant factors to consider.
For the Future Researchers:
This market research can be used as a guide and reference material by future researchers in
solving their own difficulties or performing their own research. Students in business will get a
competitive advantage, and it will also act as a future reference to motivate them to start their
own company.
This research will also help business professionals improve their knowledge and
entrepreneurial skills. Finally, the findings of this research will assist management in improving
the way they conduct business.
SCOPE AND DELIMITATION OF THE STUDY
The study examined the impact of customers’ satisfaction and retention in online business
world. This study will begin in May 2022 and will conclude in July 2022. To evaluate the
influence of marketing strategy on the stability of chosen online business, consumers in San
Pablo City who would serve as study respondents. The study concentrated on the findings of
excellent customer service and allegiance when making transactions online.
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Definition of Terms
For a better understanding of this study, the following terms are defined in the
context of this research.
Covid19 Pandemic. The time that most of the Filipino used internet and build an
online business in the study.
Customer. A person or organization that buys goods or services from an online
business in the study.
Customers Satisfaction. It is a measure of how products and services supplied by
an online business meet or surpass customer expectation in the study.
Digital Transformation. Is the process of using digital technologies to create new
business processes, culture, and customer experiences to meet changing business and market
requirements.
E-commerce. Is the buying and selling of goods and services over an electronic
network, primarily the internet.
Online Shopping. Is the process of buying goods or services from a business or
seller over the internet.
Product Quality. Product quality refers to how well a product satisfies customer
needs in the study.
Profitability. The degree to which an online business or activity yields profit or
financial gain.
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Reviews. A review of a product or service made by a consumer who has
experienced a service or purchased a product based on the study.
Technology. The application of scientific knowledge for online business and
shopping purposes based on the study.
Traditional Store. This is a shopping process, wherein customers or consumers
purchase the products and brands by visiting a store personally.
Review Related Literature
Foreign Literature
Several criteria must also be considered to create a successful e-commerce. Search
engine optimization SEO is a specialized research-driven process of analyzing and editing your
web site in order to increase the rankings of your site pages for specific search terms in search
engines. By targeting strategic key phrases that appeal to your target audiences, SEO allows you
to be found by global or regional markets of individuals who are seeking precisely whatever it is
that you offer.) Whether it is a product, a service, a mission or a message that you want to
promote, search engine optimization provides benefits for just about any type of organization
that wants to reach people. (Jaffray, 2004).
Apart from the content of website and design of the pages, security must also take into
consideration most importantly on the payment transactions. Website security also refers to the
protection of confidential information of the consumers. This is one way of gaining the
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customers trust because customers want to believe that the information they provide will be
protected and used only in appropriate ways ( Mansoorian, 2006).
According to Maditinos & Theodoridis (2010) in Greek online shopping context,
product information quality, user interface quality, service information quality, purchasing
process convenience, security perception and product attractiveness have been identified as
the significant determinants of customer satisfaction.
Trong, Khanh, and Gim (2014) revealed website design, merchandise attributes,
transaction capability, security/privacy, payment, delivery and customer service as the
significant predictors of online customer satisfaction.
Tandon, Kiran, & Sah (2017) also found that website functionality and perceived
usefulness as factors leading to customer satisfaction in an online shopping environment.
Local Literature
In the Philippines, e-commerce is mostly being implemented by major retailers and
multinational corporations for bank-to-bank e/change. Numerous number of business-to-
consumer transactions have emerged through the years such as auctions, online shopping, and
online banking (Lacson, Pasadilla, 2006).
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As Filipinos entered the 21st century, local e-commerce transaction reached Php 1 billion.
It shows that there’s at least one billion transaction sales growth annually. If this trend continues,
figures can reach up to Php 20 billion as more businesses conduct online transactions. If
significant economic growth takes place in the next 10 years, these estimates may even double or
triple (Toral, 2004).
One indisputable benefit of e-commerce is its ability to reduce transaction costs. For
consumers or buyers, this is most likely to take the form of lower search costs and better
information on products and prices. There could be drastic savings in production and delivery
costs of electronic or digital goods as well. (Lee, 2006)
Since the products are accessible on the internet, there is a greater chance of gaining
exposure to target customers and eventually convincing them to purchase an item. To have a
successful online marketing system, businesses must consider key factors such as target
audience, online marketing, functionality, payment and customer information security, subject
matter, and even the smallest details of a website.
It also states that in the Philippines, the study found that approximately 70% of consumers
conduct online research before making an offline purchase. This trend demonstrates the potential
for business growth by going online, it is significant in the study because it informs businesses
that online advertising is extremely effective. It also demonstrates that whether minor or major
businesses, they can easily receive the benefits of online advertising by reaching users at a time
when they are relevant anywhere.
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Foreign Studies
Vijay et.al (2017) suggests that both internal and external elements have direct influence on
website satisfaction. They highlights on why and how satisfaction with website matters in the
contribution of shopping values and website atmospherics to behavioral outcomes by presenting
its mediating role.
According to Choudhury (2014), the study highlighted that there is a significant
relationship of online shopping with gender, internet literacy and online product price. Similarly,
the study also highlighted that there is no significant relationship of online shopping with
education and website usability.
Mehboob examine the relationship between various factors that affect the consumer’s
behaviour towards online shopping. He explained the influence of five major variables that were
derived from literature. These variables are trust, time, product variety, convenience and privacy
which determine how consumer buying behaviour is reflecting online shopping trends. Based on
the result of the study by Mehboob, trust is been considered as the most relevant factor affecting
the customers buying behaviour towards online shopping when it comes to younger generation.
SERVCON measurement developed in the context of offline shopping does not apply
unique aspect approach of online shopping comfort since the online retailers utilize internet as
the shopping platform. Various previous literature have proven the online service quality concept
by identifying same dimensions of service comfort like unique feature with dimensions like
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facilitation in interactivities usage, information browsing, information in depth and richness, and
security.
Local Studies
The hottest e- commerce markets in Southeast Asia, and the Philippines comes right at the
top of the list. According to the study by Ken Research (2014), the Philippines’ e - commerce
market can expect a stupendous compound annual growth rate of 101.4 percent from 2013 until
2018, thanks to rising internet and social media adoption.
Southeast Asia, including the Philippines has become a virtual gold mine for online
shopping. Proof of that is that many online shopping malls are now on expansion mode. Lazada
is one of the largest online shopping website in Southeast Asia. It announced that it has raised $
250million from a group of investors including Tesco PLC, Access Industries Investment
ABKinnevik and Verlinvest.
As said by Francia (October, 2018), Filipino shoppers also prefer inspecting the products
themselves before making a purchase, while others factored in the cost of shipping and the length
of delivery time.
Research Tech Lab (RTL) noted that Filipinos more assured when they examine the
products before checkout, while being able to take the item immediately after payment gives
them peace of mind. It also recorded the enticements of online shopping from July to September,
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which coincided with the sale promo of leading e-commerce sites Lazada and Shopee. Here, the
company found that 68. 61% of Filipino still favour traditional shopping.
Shopee and Lazada are two of the leading e-commerce websites in the Philippines and
Southeast Asia—not just for consumers but also for business-minded Filipinos who want to
make money online. (Zoleta, 2022)
According to the 2020 e-Conomy SEA (Southeast Asia) report issued by Google,
Temasek and Bain & Co., at least 37% of the Philippines’ digital service consumers were new to
online services when the pandemic hit. The Philippine total is just above the 36% average for
Southeast Asia. The e-Conomy report also found that 95% of the new digital consumers
expected to continue using online channels post-pandemic.
Mindful consumption, with the pandemic forcing consumers to rethink their priorities,
purchases have come with more thought behind them, with an eye towards preserving cash
possibly for the long haul. NielsenIQ said it identified two new consumer categories that
emerged during the pandemic. The first is what it calls the “cautious insulated,” who have not
been affected financially by the crisis “but are watching what they spend much more.” The
second category is the “newly constrained,” who have experienced financial difficulty and are
watching their spending accordingly.
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CHAPTER II
RESEARCH AND METHODOLOGY
This chapter discusses the existing operational plan or strategy. The following operations
are included in a number of activities in the work plan: a) research design: b) sampling
techniques: c) research locale: d) research instruments: e) ethical considerations in research: f)
validation of research instrument: g) data gathering procedures: f) statistical treatment of data.
Research Design
This study utilized the descriptive quantitative research design. It also used survey
method research design. It described the profile of the participants and it looked into the
significant difference and relationship in the factors that affect consumers’ satisfaction in
choosing either e-commerce or physical store, located here in San Pablo City, Laguna.
To define the descriptive type of research, Creswell (1994) stated that the descriptive
method of research is to gather information about the present existing condition. The emphasis is
on describing rather than on judging or interpreting. The aim of descriptive research is to verify
formulated hypotheses that refer to the present situation in order to elucidate it. The descriptive
approach is quick and practical in terms of the financial aspect. Moreover, this method allows a
flexible approach, thus, when important new issues and questions arise during the duration of the
study, further investigation may be conducted.
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Researchers aim to know what individuals think about this matter in order to show the
importance of e-commerce in determining how successfully online businesses can utilize modern
technology to provide high levels of consumer satisfaction.
Sampling Techniques
The target population being considered for this study included the individuals who were between
the ages of 18 and above, who are resident in the City of San Pablo, Province of Laguna who
regularly review the e-commerce platforms. The online portals included in this study were
chosen based on their popularity and increased usage by retailers and users.
Sample unit: Sample of our study includes the online shopper aged 18 and above of 100
individual resident of San Pablo City, Laguna.
Sampling method: Since the current study consists of the online shoppers who are only a small
percentage of the entire population, therefore, the study attempts to highlight consumers views,
behavior to online satisfaction and loyalty, it was an appropriate method to use. Google forms
document questionnaires were distributed among San Pablo City residents by the researchers
from the Pamantasan ng Lungsod ng San Pablo. A study was conducted to evaluate for content
validity and guarantee that all factors were understood as the researcher intended.
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Research Locale
This study was conducted at San Pablo City, Laguna. Some of the resident here, will stand
as our respondent and will be given a questioner by using the social media platform. The
researchers selected this location to evaluate whether today's consumers desiring convenience
and efficiency would find more satisfaction in internet shopping and to become acquainted with
the function of courier service quality on online purchasing.
The researchers choose the place of implementation because it will give the researcher
information needed for the individual respondent. The study will be conducted in the month of
May 2022 to July 2022.
Location Map
Figure 3. San Pablo City, Laguna
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Research Instruments
The questionnaire will be the primary tool in this study, allowing us to gather answers to
specific questions. The questionnaire utilized in this survey was meant to collect data on how
satisfied consumers are with online shopping as well as what they think about it.
Multiple choice and rating scale questions will be implemented to allow respondents to
provide insight and evaluate.
Our research teachers have authorized the question, and the instruments we will use are a
Google form and our respondents will be customers of internet businesses or consumers who
make purchases through online business transactions.
Ethical Considerations in Research
When conducting the research, the researcher concentrate on the ethical values of the
research participants. At the time of data collection, the researcher had obtained consent from the
key respondents who had taken part in the study. During the data collection process, no such
personnel were damaged or injured.
The concerns that will be considered include confidentiality, consent, and identity
protection. The survey questions were constructed in a concise and simple manner to prevent
differences among the participants. Participants were given enough time to answer the questions
posed to them in order to avoid errors in their responses. Their cooperation will be sought
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afterwards, and they will be assured that the information gathered from them was managed with
absolute confidentiality. This will be done to build trust between the researcher and the
responders.
The researcher’s also obey privacy laws to ensure that no one’s privacy is violated. The
researcher did not ask any inquiries about the respondent’s personal information, such as detailed
location where they live, how much money they make, and so on. The researcher also avoid
encouraging respondents to give answers based on personal preferences, as this leads to skewed
data collecting. In this research work the researcher has followed ethical consideration that
proves that the research has been conducted in ethical way.
Validation of Research Instrument
The sets of questionnaire have been given to the adviser in PLSP to validate our original
questionnaire after they had validated the copies, these individuals were conducted by the
researcher to find out their assessments with questionnaire we asked. We, researcher also assure
that before they answer it, the sets of questions are clear, complete, concise and correct. We also
do understand that the respondents’ feedback is one of the most important factors that validate
important decisions within our study, their opinions also shape the researchers lifecycle.
To ensure validity of this research special consideration was given to the questionnaire
and each question was logically and theoretically linked with the key research question. The
questionnaire was divided into three parts, the first part about general information of the
customer, second; marketing communication tool and the third part concerned about the
satisfaction level of the customer with service. For the reliability of this research, all the
information was collected by the researcher directly from the customer that reflects the true
feeling of the customer and hence, the reliability of the research gathered. The author also
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believed that the same or the highly similar results would be obtained if the same research
method applied in order to measure the same research.
In this case, we’ll dig into customer satisfaction survey questions and real examples that
you can use to inspire your respondents.
Data Gathering Procedures
The researchers had spent a significant amount of time, effort and teamwork preparing
their questionnaire in order to serve its target respondents. The survey was built utilizing
appropriate questions adapted from previous studies as well as rating scale developed by the
researchers. Upon receiving consent, the researchers described the goal of the study to the chosen
responders, and then ensured that each participant met their established criteria. The data was
gathered by the researchers using an online survey form that also included their name, age,
location, and gender.
The main reason behind the research is to collect information about the current satisfaction
level of the customer and to find out the possible elements that could be improved. The
questionnaire was designed to collect data that can be used to set realistic objectives for the
research. In quantitative research, every respondent was asked the same series of structured
questions (questionnaires). As mentioned earlier, the main purpose of this research is to find out
the current satisfaction level of the customer as well as to look forward to the possible elements
that could be improved.
Furthermore, the method and style of the question, as well as the objective and
expectations of the questionnaire, will be clarified. The survey will be conducted in
online setting. Information will be collected one at a time, giving the respondents plenty of time
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to think and respond. All data of the survey process will be recorded for encoding purposes, and
appropriate data relating to the interview will be preserved.
Statistical Treatment of Data
Responses to the questionnaire by the customers who purchase into online business where
statistically analyzed with the requirement of the study. The statistical tool that were used to
analyzed and interpret in this study is descriptive statistics. Under descriptive statistics is the
weighted mean which was the researchers computed to interpret the results in the test
parameters.
To interpret the data effectively, the researcher will employ the following statiscal
treatment.
Percentage 1. This will employ to determine the frequency counts and percentage distribution of
personal related variables of the respondents.
Formula % = F/N x 100. The percentage F is the frequency N is the total number of respondent
100 is a constant value
Average Weighted Mean 2. This will be used to determine the assessment of the respondents
with regards to their personal profiles. Formula: X = FX/N. The weighted mean F - is the
frequency x - is the weight of each item N - is the number cases.
The data collected via the online guide will be copied, examined, encoded, and assessed.
The frequency of the main findings will direct the descriptive methods, and these elements will
be classified and subsequently analyzed. Choices and option that appear to be similar will be
grouped together and these categories will be gradually replaced and re-evaluated to identify
their perceptions. In general, the analysis will consist of extracting noteworthy remarks from the
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transcribed data in process of extracting main points and comments that related directly to the
topic under the study.
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CHAPTER III
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
Results and Discussion
The primary goal of this study is to identify the impact of e-commerce in determining
how successfully online businesses can employ modern technology to provide high levels of
consumer satisfaction. To make browsing the website easier and more pleasurable for customers,
resulting in enhanced perceptions about the online retail industry and greater purchase intents in
San Pablo City. To study quantitative data that has been gathered. The multiple choice and
scaling questionnaire was used to acquire quantitative data from 100 respondents. This chapter
presents the findings of the data analysis. The first section presented the findings of the
respondents' personal information. The quantitative analysis findings are provided in the second
and third sections.
Section I. Profile of the respondents
Figure 1. Frequency distribution of respondents according to age
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Figure 1.shows that out of our 100 respondents 92% of this area are 18- 25 years old,
4% are 26-30, 3% are 30-35 and 1% are 35 above. Therefore most of the respondents are 18- 25
while the least are the age of 35 above.
Figure 2. Frequency distribution of respondents according to gender
Figure 2.shows that most of the respondents are female with the percentage of 58% out
of 100 respondents, and the least are the male with the percent of 42% out of 100 respondents.
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Section II. Results from quantitative analysis.
Figure 3
3%
3%
25%
68%
Daily Once a week Once a month Thrice a week
Figure 3. The figure above shows the frequency of respondents buying a product or service
online.
Figure 3.Out of 100 respondents, 69% are buying a product/service online once a
month, 3% of respondents are buying a product/service online daily, 25% are buying a
product/service online once a week. The biggest percentage result of frequency of buying
products or services online is once a month. So we know by now that people are shopping
online, but how often do they do it? 63 percent of online buyers shop at least once per month.
Figure 4
6%
12%
43%
39%
Buying online for affordable price Buying online base on the quality of product
Buying online for convenience Buying online for personal experience
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Figure 4. The figure above shows the percentage of respondents who consider buying
online.
Figure 4.Out of 100 respondents, 43% of respondents are considering the affordable
price of the product, 39% based their preference on the quality of the product, 12% considered
the convenience of buying the product online, and 6% based on their personal experiences in
buying a product online. Retailers have found out that they can meet the needs of their customers
with less operational expenses: an online location and not a physical store. Good online retailers
then pass the savings on by cutting the cost of their products.
Figure 5
1%
19%
34%
46%
Somewhat Yes No Never
Figure 5. The figure shows the result of having to provide a lot of information to internet
stores.
Figure 5.Out of 100 respondents, 46% of respondents responded “yes” that there is a
need in providing a lot of information, while 19% responded “no” that they don’t need a lot of
information and 34% responded “somewhat” they need a lot of information. It says that
Information accuracy allows potential shoppers to feel more secure in the sense that they will not
receive the product with erroneous characteristics.
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Figure 6
7%1%
23%
69%
Easy Very easy Difficult Very difficult
Figure 6. The figure shows the result of easiness of the transaction process online rather
than physical stores.
Figure 6.Out of 100 respondents, 69% of respondents agreed that they felt easy in using
transaction online rather than physical stores only 1% said that they felt it very difficult for them
to buy a product or service online while 23% said that they felt very easy and 7% experience
difficulty in transaction process online rather than buying product on physical stores. Basically,
internet provides sellers with unlimited shelf space, so they are more likely to offer a wider
variety of products than they would in brick-and-mortar stores. No pressure and no salesperson is
hovering around and pressuring you to purchase in a virtual or online store.
Figure 7
10%
20%
70%
Good Very good Average
27
Figure 7. The figure shows the result of thinking about e-commerce platforms in the world
of business.
Figure 7.Out of 100 respondents, 70% of think that it is good, 20% very good, and 10%
average. It only shows that the respondents of the study are interested in buying products or
services in e-commerce platforms. The undeniable advantage of having an online business is that
it enables you to answer queries of your customers and resolve their problems without
consuming much of your time. So with the internet, you can simply have better customer support
for your potential customers.
Figure 8
2%
13%
4%
81%
Buying a product Looking for services Food Delivery All of the above
Figure 8. The Figure above shows what are the respondents prefer to buy in an online
store.
Figure 8.Out of 100 respondents who buys in online stores, 81% of respondents are
buying a product, 13% of respondents are on food delivery, 4 of respondents are looking for
services, and for all of the above is 2%. It says that commoditized products are essential, high
demand that can be physical or digital products and these are products that everybody needs.
28
Figure 9
3%
18%
28%
51%
Always Often Rarely Never
Figure 9. The figure above shows that respondents encountered an issue when buying
online.
Figure 9.Out of 100 respondents who buys online, 51% encountered an issue rarely,
28% encountered an issue often, 18% never encountered and 3% always encountered. As a result
most of them are more likely to discover issues with buying online rarely.
Figure 10
8% 1%
20%
71%
Quality issues Delivery and Logistics Payments None
Figure 10. The figure above shows that respondents have faced problems or issues in online
shopping.
29
Figure 10.Out of 100 respondents who buys online, 71% of respondents faced quality
issues, 20% had an issue in Delivery and logistics, 8% had an issue in payment, and 1% got no
issue. Product quality refers to how well a product satisfies customer needs, serves its purpose
and meets industry standards, but this is the one with the most choice of respondents
Figure 11
7% 12%
42%
39%
Not all concerned Somewhat concerned Moderately concerned Extremely concerned
Figure11. The figure above shows how satisfied are the respondents with their shopping
experience online.
Figure 11.Out of 100 respondents who buys online, 42% are moderately concerned,
39% somewhat concerned, 12% of respondents are not all concerned and lastly 7% are extremely
concerned when shopping online.
Figure 12
6%
17%
77%
Strongly agree Agree Disagree Strongly disagree
30
Figure12. The figure above shows the recommendation of the respondents to others to buy
online rather than at real stores.
Figure 12.Out of 100 respondents who buys online, 77% of respondents are agree in
recommending online stores, 17% are disagree, 6% are strongly agree and there is no response in
strongly disagree in recommending the online rather than at real stores. Low barrier to entry: It's
much easier and cheaper to purchase a website address than it is to open a physical store.
Section III. Results from quantitative analysis rating scale.
1.1 How satisfied were you with your shopping experience online?
Figure 1.1 shows the perception of respondents in terms of satisfaction with their
experience shopping online.
Figure 1.1.Most of the respondents somewhat satisfied with the result of 77%. The next
is the result of 17 % which under very satisfied because they satisfied from their experience
buying in e commerce platforms. After evaluating the interpretation of the respondents towards
31
on their knowledge about satisfaction on their experience shopping online, the researchers
garnered a 77% out of 100 respondents which was interpreted as somewhat satisfied.
1.2 How would you rate customer service in e-commerce platforms?
Figure 1.2 presents the perception of the respondents in terms rating of customer service in
ecommerce platform.
Figure 1.2. Majority of the respondent says that they somewhat satisfied with a result
76 % which under the somewhat satisfied. While under very satisfied interpretation with the
percentage of 22%. The third is under the somewhat unsatisfied with a 2 %. The results showed
that 76 % of respondents were somewhat satisfied with the rate of customer service in
ecommerce platforms, indicating that the rate of customer service in ecommerce platforms
satisfied the customers.
32
1.3 How satisfied are you with the product you bought on an e-commerce platform?
Figure 1.3 illustrates the frequency percentage of respondents based on product
satisfaction on e-commerce platforms.
Figure 1.3.The majority of respondents agree that they are somewhat satisfied (74%),
while the next emphasize that they are very satisfied (23%), and somewhat unsatisfied (3%).
After determining the respondents’ perceptions of satisfaction with products purchased on e-
commerce websites, the researchers interpret the estimate of 74 % of 100 respondents as
somewhat satisfied, implying that the customer agrees that the product they purchased on e-
commerce platforms met their expectations.
1.4 How pleased are you with the way your order was handled during delivery?
33
Figure 1.4 present the perception of the respondents in the way of order handled during
delivery.
Figure 1.4.Half of the respondents say that their somewhat satisfied with a 58% of 100
respondents. While the next is the strongly satisfied with a 36 % says that they more satisfied.
Lastly, 6% the respondents says that they somewhat unsatisfied. After calculating the perception
of the respondents in way of order handled during delivery, the researchers garnered a
percentage of 58% of somewhat satisfied this show that half of respondents satisfied in handling
order during delivery.
1.5 How satisfied are you with the delivery option time?
Figure 1.5 shows how satisfied the respondents in delivery option time.
Figure 1.5.Almost of the respondents says that 64 % under the somewhat
satisfied .While the next is the strongly satisfied with 27 % of the respondents. And lastly the 9%
of somewhat unsatisfied with delivery option time. After analyzing the conception of the
respondents in delivery option time, the researchers gathered a percentage of 64% of somewhat
satisfied therefore this indicate that majority of the respondents satisfied.
34
CHAPTER IV
Summary of findings, Conclusions and Recommendations
The research summary, conclusions, and recommendations throughout the whole
study are included in this chapter. The summary includes the findings of the study without
expanding into too much detail. The conclusion would include generalizations and other
interferences, as well as the researchers' suggestions to the factors that have contributed. In
general, the purpose of this chapter is to conceal the study's conclusion. The impact of online
business was examined by assessing the extent to which some of the objectives of the customer
satisfaction plan have been achieved.
Summary of findings
This research had the aim of analyzing and finding out of the customer and seller
perception toward on online shopping. A new report from e-commerce takes a deep dive into the
online shopping behaviors of Filipinos, looking at who buys what, when, and why. Overall, the
data shows that the online shopping trend is growing, but what’s surprising is the alarming
number of Philippines retail businesses that still aren’t tapping into the online marketplace. The
key findings from the report to see how online shopping has grown in recent years and to better
understand the potential opportunities.
Based on the data gathered, the following findings were presented.
1. Profile of the respondents
1.1 Frequency distribution of respondents according to age Figure 2 shows that out of
our 100 respondents 92% of this area are 18- 25 years old, 4% are 26-30, 3% are 30-35 and 1%
35
is 35 above. Therefore most of the respondent are 18- 25 while the least are the age of 35 above.
The group of the respondent below the segment of student, seller and workers. Among the 90%
of the respondent are student.
1.2 .Figure 3. Distribution of the Respondents According to Sex shows that most of the
respondents are female with the percentage of 59% out of 100 respondents and the least are the
male with the percent of 41% out of 100 respondents
2. The advantages of online purchasing through internet-company were discussed with
respondents. According to the responses received, the majority of respondents stated that
acquiring products is considerably more economical and hassle-free. According to them, it is
highly beneficial to everyone who uses this online business because it saves time travelling to the
mall and keeps you safe, as we are currently experiencing a pandemic.
3. According to the answers, buying online is better since it is more affordable and takes
less time, whereas traveling to the market or mall is risky because of the epidemic, and if you
buy the same products online, another product is brought to the market.
What we can glean from both data sets is this: Despite the fact that online shopping is
increasing and shoppers have expressed a desire for online shopping experiences, nearly half of
all Philippines small businesses are yet to address this aspect of sales.
What’s more: Only about one-third are taking advantage of online sales through an online
store.
Sales through social channels and various marketplaces are still relatively low, too.
Markets like Facebook, Amazon, and eBay present cross-channel selling opportunities, but those
participating in these spaces still appear to be those in the ‘early adopter’ category. As shoppers
continue to express a desire for online shopping opportunities, retailers need to consider how
36
they’ll address those requests. When creating a strategy for online sales, think about how you can
cater to shoppers browsing from multiple devices and across multiple platforms.
Conclusions
Based on the findings, the researchers concluded the following:
1. Based from the respondent’s profile, most of the respondents came from the age bracket 18-
25 years old which is the age of a norm college students. Meanwhile, the study is female
dominated. The group of respondent below are in the segment of student, seller and workers.
Most of the respondents preferred to buy in online business.
2. Analysis of the result simply means that after the conduct of research entitle “The impact of
online business as Determinants on Customers Satisfaction”, a significant effect took place. The
result showed that most of the respondents are somewhat satisfied and not strongly satisfied
based on their experience shopping online.
3. Even though there is a benefits of online shopping, this study concludes that only about one-
third are taking advantage of online sales through an online store.
4. New e-commerce survey looks into Filipinos’ online shopping behaviors. Alarming amount of
retail enterprises are still ignoring the market.
5. Nearly half of all small enterprises in the Philippines have yet to implement an online store.
Sales through social media and various marketplaces are also still relatively low. As consumers
continue to express an interest in online shopping, retailers must consider how they will respond
to these requests.
37
Recommendations
Specifically, based from the analysis and results interpretations, the researches recommend
the following:
1. Knowing and understanding customers’ needs and strive to provide the best experience
possible.
2. The shop keeper will have to provide assurances about the security of customer and
payment information.
3. The seller must optimize the performance of the product and provide accurate and
effective descriptions.
4. Online stores may impose strict terminology and restrictions on how you share
information with customers.
5. Improve customer service because it would be easier to sell when customers feel more
valued.
6. Online sellers must keep in mind that they have a legal ability to honor their products and
services as advertised, client satisfaction should be their top priority.
7. Though since advertisement has become so important in online shopping, online
marketers make extra achievement outcomes.
8. Implementing strong reviews are important in the decision-making process seeing as they
help customers get a better idea about the product's material, size, and shape.
9. Promote accountability by making accessibility, price fluctuations, and stock levels
available in an online environment.
10. To protect the retail sector from the effects of the covid-19 pandemic and increase its
resilience, suppliers and customers should guarantee that competition in the industry
remains appropriate in the wake of the financial crisis.
38
REFERENCES
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CITY GOVERNMENT OF SAN PABLO

PAMANTASAN NG LUNGSOD NG SAN PABLO

THE IMPACT OF ONLINE BUSINESS AS DETERMINANTS ON CUSTOMER

that enabled us to successfully accomplish our research.

and guided us in this great accomplishment.

Friends, we appreciate your support, words of encouragement, and offers of assistance

and assistance in making things easier.

Family, we appreciate your support in motivating us to complete the requirements, to

provide financial support, and being a source of happiness and inspiration.

Study On Consumers Problems towards Online Shopping

marketers gain an advantage.

Keywords: Pandemic, Consumers, Sellers, Online, shopping, Satisfaction.

CHAPTER I: PROBLEM AND ITS BACKGROUND

Statement of the Problem………………………………………………………………………….3

Conceptual Paradigm ……………………………………………………………………………..4

Theoretical Framework ……………………………………………………………...……………5

Significance of the Study …………………………………………………………………………6

Scope and Delimitations of the Study …………………………………………………………….7

Definition of Terms ……………………………………………………………………………….8

Research Literature ……………………………………………………………………………...12

CHAPTER II: RESEARCH METHODOLOGY AND DESIGN

Research Design ……………………………………………………………................................15

Research Locale …………………………………………………………….......……………….17

Research Instrument ………………………………………………………….………………….18

Ethical Consideration in Research ………………………………………………………………18

Validation of Research Instrument ………………………………………..…………………….19

Data Gathering Procedures ………………………………………….…………………………..20

Statistical Treatment of Data ……………………………………………………………………21

CHAPTER III: PRESENTATION, ANALYSIS, AND INTERPRETATION OF DATA

Result and Discussion …………………………………………………………………………23

CHAPTEER IV: SUMMARY, CONCLUSIONS AND RECOMMENDATIONS

Summary of Findings ………………………………………………………………………….35

THE PROBLEM AND ITS BACKGROUND

improved in a firm through consumer preferences to boost product purchases.

while developing this type of commerce.

STATEMENT OF THE PROBLEM

study article will attempt to answer the following questions:

1. What motivates you to shop online rather than in traditional stores?

3. What factors might influence respondents (buyers) to make an online purchase?

i. Clear information about the products (providing a reviews)

ii. Convenience of not going to physical stores

iii. Less stress

4. What is your advice on choosing an internet store over a physical store?

Online consumer satisfaction is influenced by customer service.

Awareness of customer also acts as an antecedent to fulfilling online customer experience.

their peers, friends and relatives (Greenhow, 2011).

INDEPENDENT VARIABLE DEPENDENT VARIABLE

1. Profile of the Respondents

Figure 1. Research Paradigm

PRODUCT FEATURE SERVICE FEATURE

Figure 2. Proposed Theoretical Framework

satisfaction and where improvements can be made.

SIGNIFICANCE OF THE STUDY

customer satisfaction in San Pablo City, Laguna.

For the Students:

commercial world and in their daily activities.

For the Consumers:

decision to invest in an online business.

For the Retail Industry:

brand's quality and affordability are both significant factors to consider.

For the Future Researchers:

the way they conduct business.

SCOPE AND DELIMITATION OF THE STUDY