Conceptual framework

In chapter two (section 2.9.1) it was argued that studying the adoption of e-commerce should be approached from an innovation interdependence point of view. Yet, a review of

the literature on the adoption of e-commerce (Chapter 4) revealed that previous studies have largely ignored its interdependent nature. Therefore, this research aims to fill this gap by putting forward a conceptual framework which associates the adoption of one innovation with the adoption of other related innovations (Figure 5.1). More specifically, the adoption of electronic commerce is linked to the adoption of two other innovations, namely computers and the Internet. The consumer adoption of e-commerce is, thus, viewed as a three stage process, starting with the adoption of computers, followed by the adoption of the Internet and ending with the adoption of purchasing through the computer and the Internet. Implicit in this perspective is the view that the adoption of the computer influences the adoption of the Internet and the adoption of the Internet influences the adoption of purchasing over the computer and the Internet. Presumably, the adoption of the computer also influences the adoption of purchasing over the Internet, but only indirectly. In other words, the adoption of the computer is viewed as a necessary condition for the adoption of the Internet and the adoption of the Internet as a necessary condition to the adoption of the purchasing over the Internet.

Figure 5. 1: Conceptual framework of the research (1^st order) Source: Author

Additionally, the framework acknowledges the existence of feedback within the system. It is hypothesised that the adoption of purchasing over the Internet can influence the adoption of computers and the adoption of the Internet. Similarly, the adoption of the Internet can also influence the adoption of the computer. This feed-back influence is mainly achieved through a process of satisfaction/dissatisfaction.

Computer

Computer Purchasing over the

computer and the Internet Purchasing over the

computer and the Internet Internet

Internet

Product category behaviour Product category

behaviour

There is a fourth main variable posited to influence the adoption of electronic commerce.

Past research has shown that the adoption of electronic commerce varies according to the product-category being purchased (see section 4.4.6). Hence, the purchasing and consuming of travel is regarded as a variable influencing the purchasing of leisure travel over the computer and the Internet.

After selecting the core variables (i.e behaviours) influencing the adoption of electronic commerce (which make up the first order conceptual framework), the research moved on to select the variables/concepts posited to influence each of the behaviours making up the first order framework. This will be regarded as the second order conceptual framework.

As mentioned earlier (see section 2.4.2), this research was developed from a cognitive point of view. Cognitive theories assume rational consumer decision-making behaviour and emphasise that observed behaviour is explained by intrapersonal information processing.

In Chapter Two some of the models that have been developed using the cognitive paradigm were presented: the Theory of Buyer Behaviour (Section 2.7.1), the Consumer Decision Model (Section 2.7.2), the Diffusion and Adoption of Innovations model (Section 2.7.3), the Theories of Reasoned Action/Planned Behaviour (Section 2.8.1) and the Technology Acceptance Model (Section 2.8.2). From these models, the diffusion and adoption of innovations model was selected as the basis for this research as it provides an appropriate theoretical underpinning for the study of an innovative behaviour like the adoption of e-commerce.

One of the issues that needs be addressed in the case of innovation interdependence is whether to use the same or a different framework for each of the interdependent behaviours. The adoption of innovations model was used to explain the adoption of Internet purchasing, as well as the adoption of computers and the Internet, for two main reasons:

• The model is mostly suitable for studying technology-based innovations (Hirschman, 1980) and, it can be argued, computers, the Internet and purchasing over the e-commerce are innovations that fall within this criteria (Pavlou, 2003);

• An unified conceptualisation enables the comparison of variables across behaviours;

In order to include a richer set of variables in the conceptual framework, several contributions from other models were sought. In terms of the variables related to the adoption of each of the three innovations of the innovation network, the main concepts to be studied and the underlying rationale for their inclusion were (Figure 5.2):

• Motives: the Howard and Sheth (1969) model of consumer behaviour postulates that motives exert a strong influence on consumer behaviour. It has been suggested that motives affect other variables such as the evaluative criteria used to evaluate the brands and attitude. Motives are linked to needs and therefore an understanding of the motives associated with using an innovation can contribute to the identification of what is leading, or what could lead, consumers to use, or not to use, each of the innovations.

• Involvement: implicit in the adoption of innovations model is the contention that individuals tend to be highly involved with the innovation, that is, that any innovation is relevant to every individual. However, some researchers have questioned this assumption (e.g. Strader and Shaw, 2000; Worthy et al., 2004).

Therefore, involvement with the innovation, a variable included in Engel et al’s and Howard and Sheth’s models, was incorporated in the conceptual framework, as it gauges the level of personal relevance of the innovation.

• Attitude: the literature has shown that the consumers’ evaluation of a behaviour has a strong influence on whether they will perform that behaviour. It was also shown that the most common way consumer behaviour models use to gauge consumers’ evaluation of the object is through the concept of attitude.

• Innovation experience: Section 4.4.3 demonstrated that the experience with an innovation was also an important element in explainaing the usage of that innovation, as well as the adoption of other related innovations.

• Payment for the purchases: Payment for the purchases has been shown to be a very important determinant of e-commerce adoption (see section 4.4.6). Moreover, past research in Portugal suggests that the consumers’ concerns about payment over the Internet are among the most frequent reasons cited for not purchasing over the Internet (UMIC, 2002; UMIC, 2004).

Figure 5. 2: Conceptual framework of the research (2^nd order) Source: Author

Besides the three innovations comprising the innovation adoption network, the first order conceptual framework also postulates that product category behaviour influences the adoption of e-commerce in the purchasing of leisure travel. Thus, two types of variables related to the product-category behaviour were selected to be part in this study. The first is the purchasing of the product category. Consumers develop purchasing patterns over time and leisure travel is no exception. These patterns are likely to provide an important clue as to why they use, or would use, e-commerce when purchasing leisure travel.

Consequently, the habits and preferences of consumers in the purchasing of leisure travel are regarded as a variable influencing the adoption of e-commerce.

The second variable related to the product category behaviour that was selected for inclusion in the conceptual framework was consumption. In the case of leisure travel, the purchaser is also likely to be the traveller, that is, the user. Consequently, one of the reasons for not becoming an adopter of e-commerce in the purchasing of leisure travel may be the lack of consumption of leisure travel. Therefore, the frequency of travel is posited as a contributing factor to the adoption of e-commerce in the purchasing of leisure travel.

Adoption of the