Multi-criteria decision analysis in risk evaluation of e shopping

Abstract

The development of e-commerce has increased the popularity of online shopping worldwide making it one of the most frequent purposes of using internet. Consumers' perceived risks of online shopping becomes a hot topic to research, as it directly influences users' attitude towards online purchasing vs buying in store, and their evaluation of risks will have significant impact to their online purchasing behavior.

An empirical study within the framework of this dissertation, with a structured approach could provide the means to conceptualize consumers' decisions and attitude towards online shopping based on their evaluation of different types of risks involved.

This particular research explores and offers us a deeper understanding from the customers’ perspective on how perceived risks/benefits influence their attitude towards online shopping. Additionally, it contributes to identify which are the most critical factors that influence the behavior and decisions of buyers’ concerning online shopping.

Theoretical analysis of the subject is utilized, as well as a mixture of quantitative and qualitative techniques. The necessary data are gathered by the use of questionnaires, taking a random sample from a mixture of e-customers (Cypriots and foreigners) living in Cyprus, asking them to respond on the importance they give to each dimension, using an importance scale.

As to the results of the questionnaires, these are concerned to the fact that the 58.5% of the participants decide to buy on-line instead buying in store in order to save time, the most male participants didn’t change their attitude concerning on-line shopping due to Covid-19 whereas most female participants changed their attitude due to Covid-19. We conclude that female consumers chose to buy on-line more, than they previously did. Finally, most male participants consider of medium importance the product return and changing procedures in on-line shopping, whereas most female participants consider it of high importance and that the 61.3% of the participants said that their main concern when buying on-line is the Safety on transaction.