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Ranking of perceived risks in online shopping

Author

Listed:
  • Sunita Guru

    (Nirma University)

  • Jitendra Nenavani

    (Nirma University)

  • Vipul Patel

    (Victoria University)

  • Nityesh Bhatt

    (Nirma University)

Abstract

e-Commerce has transformed the way of doing business in India. Online shopping provides comfort and convenience. However, shoppers are always weary of perceived risks associated with online shopping. Perceived risks serve as barriers in the growth of e-Commerce. This research identifies three important types of perceived risks: performance risk, financial risk and time-loss risk. With the help of confirmatory factor analysis, this study validates the predefined scale of perceived risk in order to test its adaptability in Indian context. This research prioritizes the above-mentioned three perceived risks and solves the multi-criteria decision-making problem by employing analytical hierarchy process (AHP). Here, the goal or the problem was to rank the top B2C e-Commerce brands of India as per the perceived risks of respondents. Results confirm that performance risk and financial risk are top-ranked risks that need attention by management of e-Commerce companies in order to boost company’s topline and bottom line. AHP technique also suggests the quantum of perceived risk with respect to selected B2C e-Commerce brands.

Suggested Citation

  • Sunita Guru & Jitendra Nenavani & Vipul Patel & Nityesh Bhatt, 2020. "Ranking of perceived risks in online shopping," DECISION: Official Journal of the Indian Institute of Management Calcutta, Springer;Indian Institute of Management Calcutta, vol. 47(2), pages 137-152, June.
    • Handle: RePEc:spr:decisn:v:47:y:2020:i:2:d:10.1007_s40622-020-00241-x
    DOI: 10.1007/s40622-020-00241-x
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    2. Jefta Harlianto & Harjanto Prabowo & Rano Kartono Rahim & Nugroho J. Setiadi, 2024. "From Old to New Ways of Working: How Technology and Autonomy Drive Productivity in Indonesia," International Journal of Asian Business and Information Management (IJABIM), IGI Global, vol. 15(1), pages 1-24, January.
    3. Rosillo-Díaz, Elena & Muñoz-Rosas, Juan Francisco & Blanco-Encomienda, Francisco Javier, 2024. "Impact of heuristic–systematic cues on the purchase intention of the electronic commerce consumer through the perception of product quality," Journal of Retailing and Consumer Services, Elsevier, vol. 81(C).
    4. Marek Angowski & Tomasz Kijek & Marcin Lipowski & Ilona Bondos, 2021. "Factors Affecting the Adoption of Photovoltaic Systems in Rural Areas of Poland," Energies, MDPI, vol. 14(17), pages 1-14, August.
    5. Zhao, Haifeng & Khaliq, Nosherwan, 2024. "In quest of perceived risk determinants affecting intention to use fintech: Moderating effects of situational factors," Technological Forecasting and Social Change, Elsevier, vol. 207(C).
    6. Vipul Patel, 2024. "Profiling ROPO Shoppers: Shopping Value Perspective," Business Perspectives and Research, , vol. 12(3), pages 344-360, July.

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