A study about consumers’ intention to repurchase after

By identifying these factors and investigating their relationship to consumers’ perceived risks, we can suggest several solutions for Shopee consumers to make purchases safely and receiv

BO GIAO DUC VA DAO TAO

TRƯỜNG ĐẠI HỌC KINH TẾ TP HỎ CHÍ MINH

UEH UNIVERSITY

CONG TRINH DU THI GIAI THUGNG

DE TÀI MÔN HỌC XUẤT SAC UEH500 NAM 2023

TÊN CÔNG TRÌNH:

A STUDY ABOUƯT CONSUMERS° INTENTION TO REPURCHASE AFTER

PERCEIVING PROBLEMS OF USING SHOPEE

DE TAI THUOC KHOA/VIEN: TOAN - THONG KE

MSDT (Do BTC ghi):

TP Hồ Chí Minh - 2023

I ABSTRACT The development of the e-commerce platform has brought various benefits to humans in general, it offers a wide range of choices and has great after-sale policies to support consumers However, there are still remaining problems that have left a lasting impact on the buyers The low level of security along with safety puts the buyers into a state

in which they need to rethink before making the last decisions on repurchasing online The buyers realize they have to deal with such problems while making purchases on web-based shopping

The objectivity of this study: The research results show that these factors adversely affect consumers’ attitude towards re-buying on Shopee platform - a digital trading floor, which are Product risk; Privacy risk; Sellers’ dishonesty; Financial risk By identifying these factors and investigating their relationship to consumers’ perceived risks, we can suggest several solutions for Shopee consumers to make purchases safely and receive hig quality products, as well as online businesses and retailers to enhance their performance and harden their management policies

Survey method was used for the purpose of data collection, and quantitative analysis was used to test the hypotheses A total of 261 respondents participated in an online survey made on Google Form

Keyword: Online shopping, risks perception, repurchase intention, online shopping risks

II TABLE OF CONTENTS CHAPTER I INTRODUCTION Q0 Hs Hs HH HH HT n TH TT cv 1 1.1 Research COTf€X nh KH 11k kh 1 1.2 Research problem statement S2 S2 ng kh 2 1.3 Research obJ€CEIV€S i i i nr rr rrr i i ng vip 3 1.4 Research scope and object cee ee et ieee nen ng kh 3 CHAPTER 2 THEORETICAL BASIS, PREVIOUS RESEARCH RESULTS AND

2.1 Theoretical Dasis cccccceeeeeceeeeeeeeeee etree eeeeeeeeneeeeeeeeeeeeeeeeeeeeeeeeeeeteeeeeeeniientineeeeeeeeeeeees 4 2.1.1 Definition of E-commerce Trading flOOP .:: ccccccccceceeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeaaaaes 4 2.1.2 Differences between E-commerce and Traditional COMMEFCE .0010011eeees 4 2.1.3 Adyamtages and disadWwantages 0ƒ Online shODDÌH ào nh kh khe 6

VN NP 100n n nen e 8

2.1.6 Definition of IHOTIHQHIOH S€CHÍẨ Là chà KH gu 9 2.1.7 Definition of purchase and Sale COWIFACE .cccccc cece ccc eeH,,)H.HLẢ 9 2.1.8 Definition of perceived risk and 6 types of risks when shopping online 9 2.1.9 Research on the influence of certain factors on the purchase decision of

CONSUMET'S TT C(ữladaẢ ll 2.2 Previous research T€SuÏf§ nh TT nọ ki ki kg 12 2.3 Research model - xxx TT HH kh 13 CHAPTER 3 RESEARCH METHOD SH nn TH nhu 15 3.1 Data ca 15 3.2 Data approach ch TT TK ĐT Tt 15 3.3 Analytical plano nr rr rr ii i i ng tt kh 19

SN ae H 6e 19 3.3.2 Tools ANd SOPEWAPE cccccccccccececeeeeeeeeeeeee eee caee cae eaeeeeeeeteeeeeeeeeeeeeeeeeeesaaeeaaaannineeeeneees 20 3.4 Confidence and varIabIÏIfy Tnhh kg 20 3.4.1 Factors that can affect the quality and accuracy 0ƒ dQf@Q: àằằcĂSSsv 20 3.4.2 Soluflons to increase the credibilifty and qccurd©V Oƒ đQÍŒ: «cà cằ 20 CHAPTER 4 RESEARCH ANALYSIS AND RESULT . ke 21 4.1 DescrIDLIv€ SfafISÍICS Q Tnhh TT 1k kh 21 4.1.1, History of having risks on SHOPCE TH Tnhh kế 21 4.1.2 Class levels Oƒ SEM(ÏGHSẢ Tnhh KH 1k it 22

FT n6 a5 tt †)tààạịạịỤịi.ĐẢẢ 23 4.1.4, Average amount of purchases made on Shopee IHOHIHÏV Si, 24 4.1.5 What issues will online buyers pay attention to when deciding to make a

4.16 What types 0ƒ risks are associafted with transactions made on Shopee? 25 AL7, PHOAUCE nen eẮ6Ắ (ẢẢ 26 4.1.8 The decisive factor that makes customers come back to buy again 27 4.2 Evaluating the scale ccececeeeeeeeeeeeeeeeeeeeee sere eeeeeeeeeecneeeeeeeeeeeeeeeseeeeeeenieiianeeeeeeenes 28 4.2.1 Cronbachs Apha reliability tool test for theoreticdl SCQÏ@§ che 28 4.3 Exploratory factor analysis (EFA) Tnhh KE* 31 4.3.1.Run EFA for the dependent variable .cccccccccceceeeeeeeeeeeeeeecceeeeeeecaeeeaeeneneeeeteees 31 4.3.2 Run EFA ƒor the depeHdeHt VaFiQBÏ@ TT HT «nu 33 4.4 Multiple Linear Regression AnaÌy§1§ nh Tnhh ky 34 CHAPTER 5 CONCLUSION AND RECOMMENDATION kén 36

Š,l ConcÏUSIOT - cọ HT HT KT TK TK TK TT TK kg ky 36

3.2 Managerial ImpÏICafIO'S c1 ng kg 37 NA ống ốốằằằ 37

Vv LIST OF FIGURES, PICTURES AND TABLE

Figure | The percentage of consumers perceived risks during the time of purchasing 21 FIlgure 2 The undergraduates” leveÌS c k ch HE 22 FIlgure 3 Consumers' trme length oftusing Shopee -‹ccc ch ket 23 Figure 4 Numbers of orders which have been made every month «sẻ 24 Flgure 5 The 1ssues that customers care about when makIng transactions 25 Figure 6 The risks that customers supposed to be associated with transactions made on

0 EEE Eee eee ee eeteeeeeeeeeteeennaaeeees 25 Flgure 7 Product TISK -ccc SĐT KT 1 26 Figure 8 Five important factors that made customers repurchased ‹‹c cà sẰ 27 Picture 1 Percentage of people using the Internet 0 cece eeeeeetetteeeeeeeeeeeeeeeeeeeeeentaaas 1 Picture 2 Vietnam’s Leading E-commmerce PÏay€TS TH krt 2 PIcture 3 Infingement on consumer rights classified by violatlons c cà: 3 Picture 4 Model research - - - n1 n1 ST TT KT KT 14 Table 1 Cronbach's Alpha coefficlent of the scale of Product rIsk -s<++ 28 Table 2 Cronbach's Alpha coefficlent of the scale of PrIvacy TIsk 29 Table 3 Cronbach's Alpha coefficient of the scale of Dishonesty o£ Sellers 30 Table 4 Cronbach's Alpha coefficient of the scale of FinancIal RIsk -<- 30 Table 5 Cronbach's Alpha coefficient of the scale of Repurchase Intention 31 Table 6 KMO and Bartlett's Test results .cccceeceeeeeeeeeeeeeeee eter ee eeicieeeeeeeeeeeeeeeneeeeetea 31 Table 7 Scale of purchase risk factors affecting customer's repurchase decision 32 Table 8 The EFA results measure the risk factors when purchasing that affect the

customer's repurchase (GC1SIOH TH TT ki Ki KEt 32 Table 9 KMO and Bartlett's Test reSuÏtS -ccc nnnĐSnSSnn HH Khen ku 33 Table 10 Scale of purchase risk factors affecting customer's repurchase decision 33 Table II Result of ANO VÀ ẦGSE nh nọ KT 19 34 Table 12 Model Suimmary SH ng ch 34 Table 13 Regression model according to research sarmpÌe - sssshkiky 35

CHAPTER 1 INTRODUCTION

1.1 Research context

The COVID-19 pandemic has caused a significant shift in human lifestyle One of the major changes has been the increased reliance on the Internet The rising number of people working or studying from home has made the Internet become an essential tool for communication, information, and entertainment One of the most significant impacts of the pandemic on the internet has been the surge in online shopping With many physical stores closed or operating under restrictions, consumers have turned to online retailers to purchase goods This has led to an increase in demand for e-commerce platforms and logistics services Vietnam, which was badly affected after COVID outbreaks, has an incredible amount of online users Profit received from retail sales reached $13.7 billion and will continue to rise years onwards Domestic online shopping reached 60 million users in 2022 There are an enormous number of digital shopping platforms in Vietnam which are Shopee, Lazada, Tiki, According to the Ministry of Industry and Trade (2022), the percentage of people using the Internet accounts for about 75%, mainly used for inquiry, entertainment and shopping online

@ Percentage of people using the Internet

Picture I Percentage of people using the Internet

2 (Source: Data from E-commerce book Vietnam 2022)

According to the newest data from iPrice Insights (Q1, 2022), Shopee is leading the map with more than 84 million web visits, followed by The Gioi Di Dong with 54 million and Dien May Xanh around 21 million visits per month Study from INFOQ VIETNAM (2021) indicated that Shopee always offers their consumers with loads of free shipping coupons, highly qualified after-sales support, easy-to-use platform, fast delivery, and many more upsides

Mapping Vietnam's Leading E-commerce Players

‘ore Origin ¥ Select Data Per Quarter

Picture 2 Vietnam’s Leading E-commerce Players

(Source: Data from iPrice Insights) 1.2 Research problem statement

However, besides the benefits that the Internet as well as the E-commerce platform have brought, they also have downsides and are posing many problems to be solved, especially

in terms of law violations on e-commerce websites, trading floors and online networks Many fraud cases like unqualified products, late in delivery, measurement fraud, not fulfilling the responsibility for warranty of goods

@ Measurement fraud Failure to fully fulfill the responsibility for warranty of goods

@ Unsatisfactory quality

m@ Fraud on expiration date

INFRINGEMENT ON CONSUMER RIGHTS CLASSIFIED BY VIOLATIONS

Picture 3 Infringement on consumer rights classified by violations

(Source: Data from Ministry Of Industry And Trade, Competition Administration

Department 2016) Almousa (2011) asserts that the intention to buy online will be negative by the perception

of risks Online purchases may make consumers feel unsafe, which has a significant negative impact on both companies and retailers Therefore, it is essential to pay closer attention to consumers’ perceptions of risk when purchasing online

1.3 Research objectives

This research aims to investigate four main risks that have a significant effect on consumers’ intention to make online repurchases, namely, product risk, privacy risk and sellers’ dishonesty, financial risk on Shopee platform Moreover, with the goal that this study will offer solutions to enhance the quality of the products delivered to Shopee customers and strengthen management policies

1.4 Research scope and object

The survey took place in Ho Chi Minh City for 10 days from March 10 to March 20 The survey was an online form on Google Form, mainly aim at young ages and had received

261 responses from all students of different universities

CHAPTER 2 THEORETICAL BASIS, PREVIOUS RESEARCH RESULTS AND

RESEARCH MODEL

2.1 Theoretical basis

2.1.1 Definition of E-commerce Trading floor

An E-commerce Trading Floor is defined as an e-commerce service provision website established and owned by an organization which allows other traders, organizations and individuals that are not the website owner to conduct part or the whole of process of sale and purchase of goods or services on that website (exclusive online securities trading websites) (Clause 8, Article 3, Decree 52) Include 3 forms: B2B (transactions between businesses), B2C (transactions between businesses and customers), C2C (transactions between customers)

2.1.2 Differences between E-commerce and Traditional commerce

Payments | Allows customers to pay with | Payment methods will be les

variety of payment method ATM card, Credit/debit car¢

(Visa, MasterCard, JCB), MoM«

ZaloPay, Transfer, COD

Buyers can choose to pay beft

or after receiving the goods mainly banktransfer or swiping a ba through cash

card

Buyers will have to pay for th order at the time of purchase

Products All product information is show!

only through’ pictures an descriptions, and cannot direc) contact the item customers wé

to buy

Customers can directly see † product, hold it, maybe try before buying, and kno whether the product is suitab for them or not

Create campaigns such discount codes, vouchers, fla sales and send it to customers v tools like Email marketing, pus notifications

Use offline marketing method such as distributing leaflet advertising on newspapers

TV, making phone calls sending promotional messag participating in exhibitions, etd Limited in areas and number customers reached

Labour

Save more human resources,

instead they need to recrl employees with e-commert knowledge and grasp the chang

of the online market

Manage employees through sa management software, control Many employees are needed

ensure sales, customer care operation management of t

store

Difficult to manage all of the

activities of each employee many branches

Interactive | Everything from produq Sellers and buyers will "face

form selection to payment or exchar face" and transact directly at t

between seller and buyer | store

handled on the device selection

Trading Clear platforms such as websit] The buying and selling platfor'

platform sales apps or social networkij will be in-store transactions

sites, when buyers will exchan| traditional home deliver necessary information abo methods

products directly with sellei without having to go directly t

2.1.3 Advantages and disadvantages of online shopping

In terms of benefits, when doing business through e-commerce platforms, the consumption market is much wider, making it easy to contact distant customers such as foreign customers Additionally, selling through online platforms allows businesses to track the user journey of their customers to better understand keywords, marketing messages, user experience, and pricing strategies Another obvious benefit of an online business is saving on space rental and labor costs, because when doing business online, you don't need to really invest in the physical facilities of the store's location like

traditional commerce Sellers can even use the space of their own house as a warehouse like some small shop owners today When selling online, sellers can easily grasp business trends and best-selling items in the market because each online sales platform has tools to help measure the most popular and highest-traffic categories, thus easily supporting both buyers and sellers Furthermore, since platforms do not limit the amount of space available to online stores, merchants can choose to scale up or down their operations quickly by taking advantage of “shelf space” to sell more products,

easier to meet market trends and consumer needs Almost all e-commerce platforms have product reviews and shop reviews, customers can choose the right store for them through old customer reviews, comments, photos and videos Advertising also becomes more convenient when businesses can save on advertising costs on TV or print leaflets and billboards by promoting through social media

On the other hand, doing business on e-commerce platforms also has disadvantages One thing that is obvious when shopping online is the lack of direct interaction between employees and customers When employees interact with customers, they can advise customers on items in the store that are suitable for customers’ requirements, thereby stimulating revenue or selling at a good price In addition, the fact that customers cannot directly contact the item to be purchased (color, material, ) leading to an unsatisfactory experience when receiving the goods is also a disadvantage of online shopping, Because only photos and videos that are not known to be taken by the store themselves will not

be able to fully reflect the quality of the products sold by that store Another minus point

of online shopping is the risk of fraud, not receiving orders or revealing personal information for fraudsters to take advantage of Currently, it is still not possible to clearly determine the level of customer information security of e-commerce platforms,

in addition, the fact that customers do not know exactly who the seller is also an easy reason for fraud Although payment is beneficial, crooks can take advantage of this convenience of customers to cheat money or exchange products When customers search for a certain product, e-commerce platforms will distribute stores selling the same product for buyers to choose from at different prices, as a fact, buyers will choose the store that is most profitable for them Such price difference comparison leads to higher competition between online stores Besides, there is a fundamental problem that

always exists when buying and selling online, which is the need to have access to the internet This can cause stores to miss out on non-internet customers Also because it depends on the internet, the connection speed of the network can also cause revenue loss when the shopping website encounters unexpected problems such as delays, lags

or crashes for some reason Along with being able to reach distant customers, the complexity of National Regulations, Taxes and Laws when selling to international customers is also a problem for sellers, and Shipping costs when going through customs are also relatively high when they have to go through a lot of clearance procedures to reach customers

2.1.4 Definition of repurchase

Repurchase intention is the state in which a customer who has purchased at least once before wants to buy a product or service again Acquisition intent is an integral factor for the success of a company or an online store The majority of sales come from the stability and loyalty of customers who intend to buy again This is called natural customer behavior When ordering online and receiving the product they want, the shop's customer service is good, and the price is affordable, customers will tend to buy the item again at the shops they trust, thus becoming a long-term customer for the shop According to Boonlertvanich (2011), repeat purchase intention is simply the ability to use a brand again in the future Ranaweera and Prabhu (2003) define repeat purchase intent as a customer's future tendency to stay with their service provider According to Jiang and Rosenbloom (2005), customers who have the behavior to repurchase products

of a certain brand spend more, buy more often They are more motivated to seek information, are more resistant to the manipulation of competitors, and are active word- of-mouth advertising channels to other customers Thus, even if they intend to buy again, itis an advantage for that brand Of course, their experience is the core factor that makes this intention appear In this study, we wanted to explore more deeply the influence of online shopping risks on consumers’ repurchase decisions than many previous general studies

2.1.5 Definition of product

Products are goods or services that are created and offered to the market to satisfy the needs of consumers This term has many different definitions according to each field

In Marketing, a product is anything that can be offered to the market to satisfy a customer's needs Besides, this is also the first letter P (Product) in the 4P or Marketing Mix model In retail: Products are also known as commodities In manufacturing: Products are purchased as raw materials and sold as finished products Products are created to meet the needs of human consumption, shopping, daily life, etc They are offered in the market at various in order for products to reach customers, businesses must strive to create the most appropriate and optimal marketing strategies

2.1.6 Definition of Information Security

Information security, often abbreviated as InfoSec, is a set of security tools and processes to protect a wide range of sensitive business information from misuse and unauthorized access, interrupt or destroy InfoSec includes physical and environmental security, access control, and network security InfoSec typically includes technologies such as a cloud access security provider (CASB), phishing detection, endpoint detection and response (EDR), and security auditing for DevOps (DevSecOps), etc

2.1.7 Definition of purchase and sale contract

Purchase and sale contract means an agreement between the parties, whereby the seller

is required to deliver the goods, transfer the ownership of the goods to the buyer and receive payment, the buyer is required to pay the seller, receive the goods and take ownership of the goods by agreement Theoretically, a commercial contract is a specific form of a civil contract, and a contract for the sale of goods in commerce is also a type

of contract for the sale of property However, commercial contracts in general and contracts for the sale of goods in commerce in particular have distinct characteristics that are different from civil contracts and property purchase and sale contracts

2.1.8 Definition of perceived risk and 6 types of risks when shopping online

"Perceived risk is a doubt which takes root in a customer's mind before buying a product” (Indianchart, 2022) Conceptually, perceived risk is defined as the uncertainty consumers feel when purchasing a good It is a subjective thought that a consumer has when purchasing a product or service, usually thought of when the product or service is expensive or important that it causes some change in buyer's life Theory of Planned Behavior (TPB) - which was developed by Ajzen, originated from the Theory of Reasoned Action (TRA) - is used to forecast a person's intention towards

10 online shopping There are six types of risks In general, there are many types of risks that are experienced by shoppers when shopping online According to a number of previous surveys, there are 4 types of risks reported by customers

Type of risk Definitions

Financial risk |Can be defined as the possibility of losing money due

customer's online purchase Buying goods online is conve because it is possible to pay online by several ways such banking, card, etc., but this has increased the possibility of ¢ card fraud or financial loss of the purchaser In fact, today;

commerce platforms have established policies to solve problem of customers in order to improve customers’ shor experience

Product risk Can be defined as the possibility that the delivery of goods ij

able to reach the requirements as originally intended (Pet Tarpey, 1975) We expect this factor to have the greatest influ

on the psychology of shoppers Some common reasons may | the product quality is different from what the consumers imag

Privacy risk Is defined by Garbarino and Strahilevitz (2004) that the possil

of personal information being lost, disclosed, or not secured d online transactions Recent studies have found the ris information personal disclosure to be an increasing conce online shoppers (Drennan, 2006) When buying online, the f must provide personal information such as bank account nul address, phone, and email Besides that, not only hackers steal online information, but delivery people can also be a vall source of information for scammers

II

Sellers’ This factor raises concerns among buyers about the reliabil

dishonesty online sellers, such as product information may not reflect the

quality of the product Some customers find difficulty in resolv issues that occur when buying online They are also alert sellers giving promotional information, and sellers not fulfill their commitments to after-sales service (McCorkle, 1990)

a certain store are called patrons There are three factors that affect the repurchase decision of customers: customer trust, customer commitment and customer satisfaction There are many methods to make customers come back to the store again, which have been applied by large and small stores, even world famous brands such as Dior, Gucci will provide repeat customers with membership cards, coupons, gifts, or create promotions to attract new and old customers to purchase According to Zeithaml et al (1996), repurchase intention is one of the five components of behavioral intention Repurchase intention represents three types of purchase: trial purchase, repeat purchase, and long-term commitment purchase (Lin and Chen, 2009) On the other hand, forming customer buying habits is a process that requires a lot of things Managers are interested

in understanding how an individual's repurchase intention is theoretically shaped and what factors influence that process empirically (He and Song, 2008) Repurchase intention, on the other hand, from customer view, may be the result of customer attitude and commitment towards repurchasing a particular product (Akbar, 2009 cited in Abdul samad, 2014)

12 2.2, Previous research results

On the one hand, product risk perception is the factor that has the strongest impact on people's online shopping decisions in Ho Chi Minh City The studies of Kaynak (2003), Wathne et al (2001), Bolton et al (2000) show that the repurchase intention of consumers depends on the previous experience and the value obtained from the previous purchase Furthermore, based on the research of Doina Olaru, Sharon Purchase, and Nathan Peterson, consumers make future purchase decisions through the value obtained

in previous transactions Intention to start shopping online is differently affected by the intention to repurchase even though they are caused by the same reason known as online shopping problems Because when they have not started shopping online, they have not experienced and have no personal evaluation of the product Hopefully, once a review has been made by himself, the buyer's next choice may be to stop shopping for that item online, stop buying from that store, or even say goodbye Different from shopping on e-commerce platforms

On the other hand, consumers’ trust and their repurchase decisions are derived by previous purchases The information they have searched and understood will help reduce the time it takes to find information for the next purchase Therefore, they can have a certain standard for the item they need to buy, making it easy to compare and choose This progress reduces the necessity to search at other sites or stores because initiating a new search process could make consumers waste more time and effort than continuing to select the previous site or store, according to Hellier et al (2003) Hence, Hsu and his partners suppose this is also the reason why stores and agency platforms (specifically e-commerce platforms - where online purchases and sales take place, Shopee is an example) should have policies to increase the core values of items and services to make consumers feel that this website or store can fully meet their needs and standards and increase the repurchase rate

According to Nhi Vo Ngoc Lan's research, in the perception of risks, the gender factor did not affect the intention to engage in sexual intercourse There is no difference in online shopping intention behavior among income groups Therefore, this issue is objective, and suitable for all subjects In another research, which belongs to Hoa Thai Khanh (2012), the higher the perceived value, the perceived ease of use, the company's

13 reputation, the security rated, the level of trustworthiness, and the perceived usefulness, the higher the customer repurchase intention

Overall, Most previous studies only talked about the benefits consumers get when shopping online instead of the risks Thus, this research aims to investigate the association between online shopping risks and consumers’ repurchase intention of a brand or an item that gave them an unpleasant online shopping experience

2.3, Research model

Based on the results of previous studies, the research model proposes three main risk groups that affect the perceived value and repurchase intention of consumers: the product risk, the security risk information, and the risk of seller fraud

Product risk: As defined above, this problem can happen to anyone even if no one wants it to happen For instance, although several customers are extremely careful, they always check the reviews of previous customers, however, so many men, so many minds In addition, risks may also arise during packaging and delivering This makes many customers uncomfortable and feel the money they spent on those goods are not worthy

Hypothesis 1: Product risk negatively affect the customer repurchase rate

Privacy risk: Since the appearance of e-commerce platforms (such as Shopee) comes with privacy security risks, some problems have always existed such as buyers often being disturbed by real estate companies, and advertising Or even more, they may fake new orders to deceive relatives, especially the elderly or teenagers, to pay and steal a huge amount of money

Hypothesis 2: Privacy risk negatively affect the customer repurchase rate

Sellers’ dishonesty: In today's highly developed technology era, there have been many agency companies that provide virtual review services, or else, even stores can use some tips to increase the rate of high reviews by themselves to create a fake trust for customers Until they realize that they have been tricked by the store, customers will completely lose their trust and expectations for the store

Hypothesis 3: Dishonest the sellers negatively affect the customer repurchase rate Financial risk: With Shopee's extremely beneficial privacy policies for consumers, the majority of users are very convinced and often use this platform For more information,

14

in August 2021, 513 people were surveyed by InfoQ, there are up to 78.95% of people surveyed said that they were using Shopee In addition, 49.9% of people surveyed said that they trust Shopee's consumer protection policies the most However, once there is

an incident, it will be a great loss for Shopee and a great lesson for both other e- commerce platforms and users

Hypothesis 4: Financial risk occurs negatively affect the customer repurchase rate

Picture 4 Model research

15 CHAPTER 3 RESEARCH METHOD 3.1 Data target

We survey, make statistics, and analyze data to achieve the following purposes:

Survey the risks customers have encountered during shopping on Shopee

Survey of consumers’ repurchase intention after coping with four types of risks

while using Shopee

Answer the question whether the amount of time and frequency of use affects

the research problem

Hence, propose solutions for Shopee, Shopee sellers and Shopee consumers

3.2, Data approach

The data was collected through an online survey form from students from

different universities in Ho Chi Minh City

Survey object: Undergraduate students (from freshman to senior)

Data collection: Fill out online survey form

Time range: From March 10 to March 20 (2023)

Design a Google Forms questionnaire and post it on social media, university and

student forums, studying groups, to collect data from respondents, receiving

261 responses with 214 verified ones

Code History of having risks on Shopee Cl Nominal | Survey

History of using Shopee C3 Ordinal | Survey

Average amount of purchases made on Shopee C4 Ordinal | Survey

monthly

Product risk PR Interval | Survey

16

Privacy risk SR Interval | Survey

Sellers’ dishonesty risks DR Interval | Survey

Financial risk FR Interval | Survey

Intention of repurchasing IR Interval | Survey

Determining factors of repurchasing DF Interval | Survey

Satisfaction level after buying on Shopee SL Interval | Survey

PRI The product I bought does not have the Võ Ngọc Lan N

features and usages as advertised (2021)

PR2 The product I purchased was not delivered on | V6 Ngoc Lan N

PR3 The product I purchased has bad quality | V6 Ngoc Lan N

which causes a risk to use (2021)

PR4 The product I purchased has low quality than | V6 Ngoc Lan N

SRI My purchase requisition information is not V6 Ngoc Lan N

fully and accurately understood by the (2021) supplier

SR2 My password is exposed Võ Ngọc Lan N

(2921)

SR3 My personal information is not secure (bank | V6 Ngoc Lan N

account, home address) (2021)

SR4 My personal information data has been V6 Ngoc Lan N

means buying fake, edited expiration date of | (2013) goods

DR2 Promises of after-sales service are not Bui Thanh Trang

a higher price than other offline stores (2021)

FR2 I may lose my money but the received V6 Ngoc Lan N

product is not good/damaged (2021)

FR3 I may lose my money but the supplier does V6 Ngoc Lan N

not deliver the product (2021)

FR4 I may have to pay the fee when | Võ Ngọc LanN

returning/exchanging products (2021)

FR5 I may incur hidden costs that I do not know Võ Ngọc Lan N

FR6 The product I bought is not financially Qualitative

worth the value of the product Research

Repurchase Intention

IR1 In the future, you will limit/no purchases Qualitative

from certain Shopee stores that have put you | Research

at risk in previous purchases

IR2 In the future, you will limit/no purchases on | Qualitative

Shopee if you have or may have your Research

personal information exposed during the purchase process

19

IR3 In the future, you will limit/no purchases Qualitative

from some shops on Shopee if the product Research reviews appear to be fake

IR4 In the future, you will limit/no use of Qualitative

payment methods related to bank cards and | Research replace them with payment on delivery

*Questionnaire on the scale above is referenced from V6 Ngoc Lan N (2021), Nghién

cứu các yêu tổ rủi ro ảnh hưởng đến ý định mua hàng trực tuyến của người tiêu dùng

tai TP H6 Chi Minh", MA thesis, Truong Dai hoc Kinh té TP Hé Chi Minh; except

SRS, FR6, and Intention of repurchase

*Questionnaire in Sellers’ dishonesty is referenced from Bui Thanh Trang (2013),

"Nhận thức rủi ro tác động đến ý định mua sắm trực tuyến của khách hàng”, Tạp chí

Therefore, the team surveyed 261 students of UEH and other universities in Vietnam to

carry out this project

¢ Methods of data collection and processing

After collecting the data from the online survey form, enter the data into the computer

Data is entered, processed and analyzed

¢ Descriptive statistics method

Here, descriptive statistics are used to test reliability The data, after being analyzed,

will be presented in the form of tables and figures, making the data easier to observe,

clearer, and easier to understand

¢ Inferential statistics method

20 The data is estimated, hypothesized, and then calculated to determine whether the

hypothesis is correct or incorrect From there, reject the false hypothesis and draw

conclusions

¢ Forecasting method

From the time series model, derive the propensity of that pattern Use linear trend

regression to derive the characteristics of that time series model and forecast for the

coming years

3.3.2 Tools and software

¢ Collection tool: Google Forms

¢ Statistical tools: Microsoft Excel, IBM SPSS Statistics

¢* Computer software: Microsoft Excel, Microsoft Word

3.4 Confidence and variability

3.4.1 Factors that can affect the quality and accuracy of data:

* Quality of questionnaire: language, grammar may be incoherent or inappropriate

or don’t provide enough information

* Respondents sometimes fill in wrong information

¢ Error in the process of collecting and analyzing data

3.4.2 Solutions to increase the credibility and accuracy of data:

¢ Encourage participants to give out the best possible answer in capability

¢ Choosing verifiable websites (students’ learning groups, forums, ) to reduce the

possibility of spam, unwanted data

¢ Build the survey questionnaire in an understandable, logic way with strict

manner to avoid any misunderstandings in the survey

¢ Instruct and assist participants to read the form slowly; answer any additional

questions about the form

¢ Meticulously collect and analyze data, check many times with other members to

make sure the collected data give out verified results

21 CHAPTER 4 RESEARCH ANALYSIS AND RESULT 4.1 Descriptive statistics

4.1.1 History of having risks on Shopee

Have you ever experienced any risks while shopping on Shopee?

9%

Have you ever experienced any risks while shopping on

Have you ever experienced any risks while shopping on

encountered hazards while shopping online on Shopee, this takes up nearly 82% of the

total, while only 18.01% of people have never encountered any problems while

shopping online The data shows that shopping online risks on Shopee have taken place

many times and most of the buyers, especially the young have suffered from such

damage

22 4.1.2 Class levels of students

Freshmen, meaning they have reached the highest peak, and followed by 37 responders

in their Senior year coming in second at 17.29% The third position is led by 26

Sophomore students, who make up slightly over 12% Junior respondents of 25

provided the lowest responses, accounting for just 11.68% of the total This indicates

that young buyers, or the Freshmen enjoy buying on digital platforms - Shopee,

meanwhile the other 3 groups prefer offline shopping