Research Article Open Access

FACTORS INFLUENCING ACCEPTANCE OF ONLINE SHOPPING IN TANZANIA USING UTAUT2

Abstract

This study aims at exploring factors influencing Tanzanians to purchase goods and services online. The motivation was gained from the fact that, recently there is increase in internet penetration and smartphone use in the world that has changed consumer behaviour from using physical store to online store. The study adopted the extended unified theory of acceptance and use of technology (UTAUT2) model and modified it by adding personal innovativeness, perceived risk and trust. A total number of 364 Tanzanians participated in the survey and out of these, only 346 were used for analysis. The analysis of proposed model was conducted using Partial Least Squares Structural Equations Modeling (PLS-SEM) method. Findings portray that effort expectancy, price value and trust significantly influences behavioural intention to purchase online. The study shows the adoption of online shopping in poor and developing country context. This study provides online shopping venders and E-commerce mobile application/ website designers’ strategic inputs on how to enhance consumers’ retention via localization of E-commerce mobile applications/websites.

GILBERT GUTABAGA HUNGILO, SUYOTO, DJOKO BUDIYANTO SETYOHADI

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