Recently, studies on the impact of the TikTok shop platform on consumer purchase intent account for a few numbers, which in turn, the issue ascertained is the deficiency of evidence in t
INTRODUCTION TO THE RESEARCH
The Urgency of The Study
Being a prevalent foundation for communication, the Internet is promptly evolving into a state-of-the-art gadget for promoting commodities and services (Dwivedi et al., 2021) In recent days, owing to the widespread enhancing usage of technology and the Internet, online shopping through social media platforms, which has become the most salient medium of marketing activities through large institutions as well as medium and small enterprises in the 21st century, is gaining prevalence (Ofori and Appiah-Nimo, 2019) Specifically, enormous human interaction has been developed astonishingly with the emergence of social media and virtual platforms in modern times (Balakrishnan, Dahnil and Wong Jiunn Yi, 2014), which emboldens businesses to swiftly realize the opportunities brought by the Internet and to enlarge their conventional physical stores into the online stores to provide products as well as services for catering the demands of customers Concerning Vietnam market, in these current times, people gradually have tended to purchase products on online websites such as Shoppe, Lazada, Tiki, and Sendo Furthermore, in 2017, a novel online platform derived from China, known as TikTok, penetrated the social media market in Vietnam and became prevalent among customers, especially Generation Z, and gained relentless development in the usage share with the “shopertainment” combined business form according to the report regarding mass media of the Vietnam market
Globally, in December 2020, TikTok was the most downloaded application of the year, attained a fivefold increase in comparison to the same duration of the previous year, and was predicted to maintain this mentioned growth in the following year (Tran Van Thang, 2021) Furthermore, although penetrating later to the social media market, TikTok surpassed its competitors, namely Twitter, Telegram, Pinterest, and Snapchat, and accounted for the prevalent appearance frequency in the mobile application among customers These statistics indicate that TikTok is gradually turning into a medium possessing a vast number of users Since then, TikTok has developed as a dominant social media foundation and is considered one of the most widespread social networks among platforms in the global state as well as has also had an immense influence on the perception and behavior of Generation Z According to the Mic report, TikTok shop gains more than a billion monthly active users belonging to the young generation and in Vietnam, that number is currently reaching 13 million users belonging to Generation Z per month, specifically, the first quarter of 2023
2 continued to witness the growth of the usage ratio of TikTok shops compared to the fourth quarter of 2022, reaching 25%
Parallelly, there is an assortment of disciplines affecting consumer buying intention, which might embrace cultural, social, personal, psychological, etc People have a predisposition to give credence to the influencers’ advertisements on social media owing to their empathy, and then they would make determinations to pursue products Especially for Generation Z, is an influential group of consumers who have distinctive characteristics, preferences, and behaviors compared to previous generations They are the first generation to grow up with the internet and digital technologies, and they value diversity, authenticity, creativity, and social responsibility Furthermore, it is observed that this group is straightforwardly influenced by the media, hence, almost all influencers highlight their concentration on Generation Z Recently, studies on the impact of the TikTok shop platform on consumer purchase intent account for a few numbers, which in turn, the issue ascertained is the deficiency of evidence in the market illustrating the direct correlation between the TikTok shop platform and consumer purchasing intention In other words, those studies were conducted on a large scale of people without distinguishing the age norm, gender, and purchasing intention of each target group Thus, this study will only deliberate on Generation Z, whose age norm is from 11 years old to 26 years old Simultaneously, the targeted area focused by the study to implementing the study belongs to Ho Chi Minh City, a dynamic and fast-growing metropolis in Vietnam which possesses an enormous and young population Specifically, this mentioned urban area is also one of the most creative cities in utilizing the TikTok shop platform for purchasing commodities among the young generation In other words, Ho Chi Minh City represents an able setting to explore the elements influencing the purchase intention of Generation Z on the TikTok Shop platform, as well as to clarify the opportunities and challenges for e-commerce in this emerging market
Hence, this study entitled “ A Study on Factors Impacting the Purchase Intention of
Generation Z on the TikTok Shop Platform in Ho Chi Minh City ” aims to address the mentioned concern by conducting specific research on Generation Z to comprehend the association between their buying intention and the TikTok shop platform
The Objective of The Study
The objectives of the study are to analyze and evaluate the elements influencing the online shopping intention on the TikTok shop platform of Generation Z in Ho Chi Minh City Grounded on these analyses, the study proposed recommendations to enhance the intention of utilizing the TikTok shop platform for purchasing commodities among Generation Z.
Object And Scope of Study
Object of the study: The research deliberates on the purchase intention on the TikTok shop platform of Generation Z in Ho Chi Minh City
Scope of the study: o Scope of space:
The research space is conducted in Ho Chi Minh City The figures and images in the thesis are mainly provided by the author o Scope of time:
The research topic “ A Study on Factors Impacting the Purchase Intention of Generation
Z on the TikTok Shop Platform in Ho Chi Minh City ” has been executed from September
2023 to November 2023 Thereby proposing effective recommendations to augment the intention to utilize the TikTok shop platform for shopping among Generation Z o Scope of content:
A Study on Factors Impacting the Purchase Intention of Generation Z on the TikTok Shop Platform in Ho Chi Minh City.
Method of The Study
In this study, the author employs qualitative research methods to explore and gather observed variables to evaluate the concepts in the research framework Parallelly, the author also refers to scientific research papers, and articles of previous scholars to determine the theoretical hypotheses to establish the proposed research framework and research scale, afterward, constructing the questionnaire for the dyadic discussion meeting to implement several adjustments regarding the research model and scale, since then, forming the official research framework and official research scale to collect necessary statistics related to the research object to cater the research
Quantitative research is conducted to re-validate the scales in the research model to determine the content of the analysis as well as the accuracy and reliability of the data This is the phase of analyzing the information collected through the questionnaire within the scope of the object chosen by the author In other words, quantitative research is generated to determine the reliability and the correlation of these factors with each other, since then, drawing specific conclusions Furthermore, there are three dominant quantitative research objectives, embracing:
The first target is to evaluate the reliability of the scale by Cronbach’s Alpha coefficient The second target is to validate the value of the scale by the exploratory factor analysis (EFA) method
Pearson correlation analysis and multiple regression modeling were employed to test the research hypotheses and assess the impact of independent variables on the dependent variable These statistical techniques enabled the identification of significant relationships and the quantification of the influence degree of each independent variable.
After collecting and synthesizing the survey table, the author proceeds to filter, encode the essential information, divert data into the SPSS 20.0 software, and ultimately, analyze these statistics through the mentioned technological software.
The Practical Significance of The Study
According to the current studies, there is half of Generation Z purchasers have formed impulsive shopping behavior after being advertised products on the TikTok shop platform Additionally, a study on Generation Z indicated that they form online purchase intentions faster than Millennials, also known as Generation Y (Lauring and Steenburg, 2019) This study entitled “ A Study on Factors Impacting the Purchase Intention of Generation Z on the TikTok Shop Platform in Ho Chi Minh City ” is conducted to explore the factors influencing the online purchase intention of Vietnamese consumers, especially Generation
Z, through the information bestowed on the TikTok shop platform Imperatively, this study's outcomes which derive from empirical research might assist businesses in comprehending their customers and enhancing the product advertising effectiveness through the TikTok shop platform, moreover, this research could motivate other researchers to enlarge the meaning of related studies further
The Structure of The Study
The study entitled “ A Study on Factors Impacting the Purchase Intention of Generation Z on the TikTok Shop Platform in Ho Chi Minh City ” has a five-part structure:
Chapter 1: Introduction to The Research
Chapter 2: Theoretical Foundation and Research Framework
Summary of Chapter 1
Chapter 1 depicted the necessity of identifying factors influencing the purchase decision on the TikTok shop platform among Generation Z The part pictures the urgency of the shopping intention authenticity on the new technological application, known as TikTok shop among the young generation and showcases the objective of the study Moreover, this section elucidates the research object and research range of the dissertation as well as highlights the practical significance of conducting the research
THEORETICAL FOUNDATION AND RESEARCH FRAMEWORK
Literature Review
According to Philip Kotler (2003), consumer behavior is the research of how individuals, groups, and organizations select, purchase, utilize, and discard goods, services, concepts, and experiences to satisfy their demands and aspirations
According to David L Loudon and Albert J Della Bitta (2004), consumer behavior is delineated as the decision-making process and genuine accomplishments belonging to individuals once evaluating, purchasing, utilizing, and discarding goods and services
According to Master Mai Hoang Thinh (2023), consumer behavior is the interaction between environmental stimuli and people's perceptions as well as behavior, through which people amend their lives Based on this definition, the concept of consumer behavior is cogitated from the perspective of interaction, which signifies the mutual influence between people and the explicit environment
Consumer behavior is also classified as a deep commitment to repurchase and endorse favorite goods and services in the future Hence, comprehending the factors that determine customer retention might facilitate managers to deliberate on the dominant factors associated with the behavior among customers Furthermore, quality, perceived value, and satisfaction have already been proven to be predictors of behavioral intention (Petrick,
In the same manner, Kotler and Keller (2011) emphasized the importance of grasping the behavior of consumers and the way promoting their elections on purchasing goods and services bears a salient function for manufacturers because the information furnishes them competitive advantages over other competitors in similar facets Typically, through researching and understanding consumer behavior, businesses could propose products, marketing strategies, and approaches to access customers associated with their demands along aspirations
Parallelly, Iveta Ludviga et al (2012) also indicated that customer behavior is a term that describes the interaction between customers and products, services as well and brandings Shopping behavior covers various aspects of customer psychology, namely their demands, preferences, engagements, emotions, attitudes, beliefs, and perceptions Guiltinan (1990)
7 also expressed that consumer behavior is concerned with the determinations and actions of individuals in purchasing and utilizing products, while Baker (1991) indicated consumer performance as those actions of individuals directly involved in achieving combined with using economic goods and services Hence, consumer behavior can be identified as the behavior that consumers express in searching for information on products and services, purchasing, utilizing, assessing, and discarding commodities that are appropriate to their aspirations (Assael 1995) As mentioned, consumer purchases are intensely influenced by civilization and social, individual, and psychological characteristics
Furthermore, for the most part, research marketers could not manage these disciplines, but these mentioned factors must be considered To comprehend which elements drive consumer behavior, Kotler’s Black Box Model presented vibrant illustrations to picture that issue since it emphasized the process as well as the factors impacting the decision Specifically, consumers turn to access the external incentives from the marketing mix of and other external incentives, then they make an administration among these stimuli in their mind (black box) to decide, which relate to their pre-existing consciousness, namely personal credence, and aspiration
Generally, this model indicates that consumers bear a function as problem handlers who form decisions after judging the satisfactory degree brought by products and services to their surviving credence and demands
Figure 2.1 The Consumer Behavior Model
[Image source: Iveta Ludviga et al (2012)]
Purchase intention signifies a consumer's likelihood to make a purchase and is influenced by their evaluation of product information, past experiences, and environmental factors (Alford & Biswas, 2000) This judgment entails comparing the product to expectations, assessing its features, and forming a final opinion (Wang, Cheng, & Chu, 2012) Purchase intention plays a crucial role in marketing (Morrison, 1979) and is enhanced by familiarity with the brand (Johnson & Russo, 1984), suggesting that consumers tend to purchase products they are familiar with.
Furthermore, Engel et al (1995) exhibit the most recognized pattern of consumer purchase intention-making This framework separated the customer buying decision into five phases:
Consumer behavior involves a series of steps, including issue recognition, information exploration, alternative assessment, and post-purchase behavior These steps influence purchase intentions, which are formed through processing outcomes such as problem perception, solution investigation, alternative evaluation, and decision making Individual attitudes, influenced by personal preferences and societal expectations, as well as spontaneous situations, such as price changes, can also impact purchase intentions.
Furthermore, to form the purchase intention procedure of consumers, the theory of planned behavior (TPB; Ajzen, 1991) developing from the theory of reasoned action (TRA; Fishbein and Ajzen, 1975) assumed that behavior could be prophesied or explained through the intentions to perform that behavior Intentions are assumed to encompass motivational disciplines that influence behavior and are defined as the degree of endeavor that people attempt to implement that behavior
After gathering sufficient information through the search and sorting process as well as evaluating the options based on the salient criteria, consumers establish purchase intentions
Nevertheless, from intention to decision, they are still influenced by faucets such as the attitudes of others and unexpected situational factors Indeed, the attitudes of others can enhance or discipline the customer’s choice depending on two things, including the degree of negativity or positivity of the attitude that a person has towards the customer’s choice and the customer’s motivation to comply with the aspirations of that individual The more positive that person’s attitude towards the customer’s election as well as the closer the relationship of that given person to the customer, the more probable the customer is to adjust their choice according to that person and vice versa
Furthermore, situational factors can also amend purchase intentions The determination to modify, postpone, or not purchase by customers is intensely influenced by the menace they perceive The degree of jeopardy depends on the monetary value they spend, the uncertainty of the characteristics, and the confidence degree of the customers Customers habitually behave to diminish menace such as avoiding decisions, congregating more information from friends, and preferring large brands along with guarantees Once implementing purchase intentions, purchasers could make five specific decisions, embracing brand decision, seller decision, quantity decision, timing decision, and payment method decision
Hence, recognizing the brand among a range of brands surviving on the market, the brand which possesses the characteristics or attributes closely associated with the customer’s demands would endorse the customers to discern a desire to gain the products and since, forming a consumption decision for that brand, known as a purchase decision
Figure 2.2 The Purchase Intention Procedure
[Image source:Evelyn Geok Yan Loh et al (2021)]
2.1.2 Theories associated with Purchase Intention
2.1.2.1 Theory of Reasoned Action (TRA)
Interrelated Research Oeuvre
2.2.1 The Research Framework of See Siew Sin et al (2012)
See Siew Sin et al (2012) published the editorial entitled: “Factors Affecting Malaysian
Perceived usefulness emerged as the primary factor driving online purchase intent among young consumers via social media, surpassing perceived ease of use and subjective norm This study, employing TAM and TRA frameworks, analyzed responses from 297 undergraduate students through stratified sampling and multiple regression analysis The findings suggest that perceived usefulness is the most influential determinant of purchase intention, highlighting its importance in shaping young consumers' behavior on social media platforms.
2.2.2 The Research Framework of Dushyantha Kulathunga (2018)
Dushyantha Kulathunga (2018) published the research paper entitled: “Factors Affecting
Online Purchase Intention: A Study of Sri Lankan Online Customers” The author presupposed that the rapid growth of information communication gadgets and augmented Internet penetration had amended the derivation of the consumer’s habitual activities, simultaneously, most offline purchase chases had migrated towards online movements In this respect, e-commerce transactions in Sri Lanka were anticipated to increase further in the following periods Thus, the author desired to identify the factors influencing online purchase objectives among consumers in Sri Lanka along with determining the association between those identified disciplines and online purchase intention from the technological prospect Specifically, the survey statistics were gathered from 292 MBA students and SEM was harnessed to evaluate data The outcomes indicated that trust possessed a mediating impact on perceived usefulness, perceived ease of use, and website content on the online buying purpose of retail shopping in Sri Lanka Generally, in the study, the author borrowed structures from the technology acceptance model (TAM) to elucidate the factors affecting online purchase intention and consumers’ credence Meanwhile, perceived usefulness, perceived ease of use, website content, and trust were the dominant constructs of the recommended model The study simultaneously validated the function and the salience of trust grounded on the TAM antecedents on the influence of online purchase intention The findings showcased that credence possessed a mediating impact on perceived usefulness, perceived ease of use, and website content on online buying intention of retail shopping in Sri Lanka
Figure 2.5 The Research Framework of See Siew Sin et al (2012)
[Image Source: See Siew Sin et al (2012)]
The following diagram depicts the research framework of Dushyantha Kulathunga (2018):
2.2.3 The Research Framework of Toan Do and Cuong Nguyen (2019)
Toan Do and Cuong Nguyen (2019) compiled the study entitled: “Online Shopping in an
Emerging Market: The Critical Factors Affecting Customer Purchase Intention in Vietnam” The author presumed that the emerging market was recently witnessing the growth of online purchasing, consequently, the study was conducted to analyze the dominant disciplines impacting the intention of customers in terms of buying in the Vietnam market Specifically, the research employed two methods, embracing a secondary research approach and a quantitative approach for analysis Firstly, the authors harnessed the secondary research method to signify previous academic derivations for the research Secondly, the authors gathered a sample of 349 volunteers in Vietnam who possessed an understanding and curiosity in the e-commerce discipline There were three altered factors proposed by the scholars, namely perceived usefulness, perceived ease of use, and perceived transaction security, which gained a positive relationship with online purchase intention It is observed that they were salient factors affecting the purchase intention of Vietnamese online customers, by contrast, other demographic elements might affect online shopping intention, such as age and income, which in turn restricted the research to assess all customers Furthermore, the research might furnish an empirical derivation for institutions to utilize the findings for further comprehension regarding emerging markets
The following diagram depicts the research framework of Toan Do and Cuong Nguyen (2019):
Figure 2.6 The Research Framework of Dushyantha Kulathunga (2018)
[Image Source: Dushyantha Kulathunga et al (2018)]
2.2.4 The Research Framework of Ali Abou Ali et al (2020)
Ali Abou Ali et al (2020) compiled the research paper entitled: “Factors Influencing
Customers’ Purchase Intention in Social Commerce”, which investigated the elements impacting consumers’ buying intent The research inspected the association between purchase intent in social media circumstances and germane factors namely trust, perceived risk, online behavioral advertising, and social commerce constructs To analyze the data gathered from 384 questionnaires beyond Lebanon, the paper utilized the judgmental sampling technique and structural equation modeling (SEM) The outcomes illustrated that the purchase intention of the contestants was appreciably positively influenced by social commerce constructs, trust, and online behavioral promoting In the same manner, trust was positively supplemented via social commerce constructs, meanwhile, it was observed that affirmative social commerce constructs would diminish the perception of menaces among customers once implementing online shopping Furthermore, perceived risk influencing on purchase intention was not substantial and credence negatively impacted perceived risk This paper indicated specific deductions regarding the elements affecting purchase intention in social commerce, which allocated that it furnished fruitful insights to both academic researchers and proficient marketers Furthermore, the study endeavored to evaluate conceivable factors affecting the purchase intentions (PI) in the social commerce milieu in Lebanon
The following diagram depicts the research framework of Ali Abou Ali et al (2020):
Figure 2.7 The Research Framework of Toan Do and Cuong Nguyen (2019)
[Image Source: Toan Do & Cuong Nguyen (2019)]
2.2.5 The Research Framework of Phuong Viet and Le Hoang (2020)
Phuong Viet and Le Hoang (2020) complied a research paper entitled: “Factors Affecting
This study explored the factors influencing online purchase intention on the Lazada e-commerce platform in Ho Chi Minh City Drawing on the Theory of Reasoned Action (TRA) and Theory of Planned Behavior (TPB), the research employed a survey to gather data from respondents The findings validated the theoretical framework and identified significant factors contributing to online purchase intention on Lazada, including perceived usefulness, ease of use, trust, and enjoyment These insights can inform strategies for enhancing customer experience and driving online sales on the platform.
300 customers, the authors highlighted that there were six factors positively impacting online buying intention, encompassing usefulness and convenience, trust, behavior control awareness, business competency, and reference group opinion The other aspect was the perceived risk that possessed a nonconstructive impact on customers' online purchasing intents Since then, the research recommended the grounds, solutions, and allegations to assist traders on e-commerce facets capture the demands and psychology of customers, which in turn empowered them to partially augment their probability to appeal to consumers' online buying intention in Ho Chi Minh City
The following diagram depicts the research framework of Phuong Viet and Le Hoang (2020):
Figure 2.8 The Research Framework of Ali Abou Ali et al (2020)
[Image Source: Ali Abou Ali et al (2020)]
2.2.6 The Research Framework of Jian Ai Yeow et al (2022)
Yeow et al (2022) studied a research paper entitled: “Malaysian Young Consumers’
Purchase Intention Through Social Media Platform During Global Pandemic”, which focused on the purchase intent through online platforms among Malaysian young consumers during the global pandemic Typically, in June 2021, Malaysia was confronting the third wave of the Covid-19 pandemic eliciting a countrywide lockdown and restricting interstate movement Hence, businesses gradually shifted their offline operations into online operations, known as electronic business (e-business) by utilizing social media foundations to appeal to purchasers, especially young consumers The study proposed five principal variables which are being evaluated in the study, meanwhile, the independent variables encompassed perceived ease of use, perceived usefulness, performance expectancy, interactivity, and intent to express empathy Further, quantitative data analysis was implemented and reported that perceived ease of use, perceived usefulness, and interactivity have a considerable association with young consumer buying intent through social media platforms Supplementarily, performance expectancy and intention to express empathy possessed no significant interrelation among young consumer purchase objectives during the pandemic Furthermore, the study recommended that local businesses should contemplate forming communicating types of marketing, assisting the social media
Figure 2.9 The Research Framework of Phuong Viet and Le Hoang (2020)
[Image Source:Phuong Viet & Le Hoang (2020)]
18 foundations straightforwardly to harness, and furnishing more empirical information to their customers
The following diagram depicts the research framework of Yeow et al (2022):
2.2.7 The Research Framework of Mulatu Tilahun Gelaw et al (2023)
Mulatu Tilahun Gelaw et al (2023) published a research paper entitled: “Determinants of
Consumers' Purchase Intention on Digital Business Model Platform: Evidence from Ethiopia Using Partial Least Square Structural Equation Model (Pls-Sem) Technique”, which investigated contributing factors impacting the consumers’ buying intent based on an empirical study on a part of East Africa In the research, the authors harnessed a descriptive and inferential survey blueprint, and epistemology presupposition, and employed the positive research philosophy method to evaluate the research hypotheses Furthermore, the primary research technique harnessed to gather relevant data was a closed-ended 5-point Likert scale questionnaire The statistics were accumulated from 100 Ethiopian, Addis Ababa University, graduating engineering scholars Further, the paper employed the SPSS software version 23 to examine the assembled data through descriptive statistics and deduced the analysis via partial least square structural equation modeling (PLS-SEM) gadget The outcomes of the study indicated five practical decision-making determinants that influence the selected consumers’ intent to purchase on online digital market platforms, embracing website design, perceived usefulness, perceived ease of use, trust, and subjective
Figure 2.10 The Research Framework of Yeow et al (2022)
[Image Source: Jian Ai Yeow et al (2022)]
Understanding the key factors influencing consumers' online purchasing decisions is crucial for businesses seeking a competitive edge in digital marketplaces This knowledge enables manufacturers, marketers, and wholesalers to develop effective marketing strategies and make informed decisions that optimize their reach and impact on global markets By leveraging insights into the determinants of consumer intent, businesses can tailor their offerings and messaging to resonate with target audiences, driving increased engagement and conversions.
The following diagram depicts the research framework of Mulatu Tilahun Gelaw et al (2023):
2.2.8 The Research Framework of Xiaoshuang Luo et al (2023)
Xiaoshuang Luo et al (2023) investigated a study entitled: “Factors Influencing Online
Luxury Fashion Purchase Intention among Generation Z in China”, which contemplated the determinants of online buying intent regarding gorgeous fashion among Generation Z belonging to China According to the authors, generation Z (Gen Z) gradually became the dominant function in the consumption of China's online sumptuousness market Hence, the research was fabricated to generate an integrated framework and grasp the function of materialism, hedonic value, utilitarian value, and perceived risk by employing the Theory of Value Adoption Model (VAM) The conceptual framework recommended experimental research with a quantitative method to reconnoiter the online luxury fashion buying intent among Chinese Generation Z customers The outcomes consolidated academically to marketing and online luxury fashion writings in the Chinese milieu Online marketers and luxury fashion institutions could ground on fruitful insights furnished by the research to
Figure 2.11 The Research Framework of Mulatu Tilahun Gelaw et al (2023)
[Image Source: Mulatu Tilahun Gelaw et al (2023)]
20 figure out the procedure and elements influencing luxury fashion chasing online As for the consumers’ situation, the study showcased the advantages of online luxury fashion purchasing to Generation Z in China through the merits such as enjoyment via online buying and the menace during purchase decision-forming
The following diagram depicts the research framework of Xiaoshuang Luo et al (2023):
Hypothesis and Research Framework
According to the synthesized research frameworks, it is observed that five components are assumed regarding possessing the influence on consumers’ online purchase intent by major mentioned authors in previous research frameworks, namely Perceived Ease of Use, Perceived Usefulness, Perceived Risk, Subjective Norm, and Trust Hence, in the following paragraphs, the author will alter these five mentioned elements to deepen their influence on the consumers’ purchase intention
➢The association between Perceived Ease of Use and Purchase Intention
Perceived Ease of Use plays a significant role in consumers' adoption of new technologies (David, 1989) Consumers are more likely to engage in online purchasing when they perceive the technology as easy to use (Juniwati, 2014) This ease of use stems from the consumers' belief that they can successfully navigate and utilize the product or service.
Figure 2.12 The Research Framework of of Xiaoshuang Luo et al (2023)
[Image Source: Xiaoshuang Luo & Selvi Kausiliha Vijayan (2023)]
21 instructions or after utilizing goods or services for a considerable period In social media website circumstances, people are captivated to harness social platforms to pursue information (Borgatti, 2003), especially, when they inquire about the reliability and information regarding products and services once implementing online purchase behavior because they cannot promptly access the goods and services Furthermore, according to the outcomes of Moslehpour et al (2018), Perceived Ease of Use possesses a positive association with online buying intention Hence, based on the empirical concept of the earlier studies and the theory known as TAM, the author proposes the first hypothesis regarding the connection between Perceived Ease of Use and Purchase Intention in the following sentence:
H1: Perceived Ease of Use positively impacts Generation Z’ Purchase Intention on the TikTok shop platform
➢ The association between Perceived Usefulness and Purchase Intention
Davis (1989) stated that Perceived Usefulness measured the degree to which people give credence to the usage of a specific system that would augment their job performance From the perspective of online purchasing, it is deduced that once consumers establish the purchase intention, they habitually contemplate the advantages furnished by the online shopping platforms, which is identified as the individual behavioral intention among online purchasers in their private lives Davis (1989) simultaneously highlighted that the more usefulness the technology possesses, the more appealing the customers are which in turn, associates promptly with customers’ buying intention, simultaneously, grounded on that notion, once institutions deliberately understand the consumers’ advantages, their purchase performance might be enhanced Furthermore, the higher benefits degrees furnish to customers through online shopping platforms, the more captivated in services experienced by the customers (Teck, 2002) Moreover, according to the supplementarily contributing to the mentioned studies, consumers habitually showcase their willingness to harness the retail websites which could consolidate their credence in terms of their probability to assist customers in figuring out the attributes of the commodities and services they incline (Chui et al., 2005) Hence, based on the empirical concept of the earlier studies, the author proposes the second hypothesis regarding the connection between Perceived Usefulness and Purchase Intention in the following sentence:
H2: Perceived Usefulness positively impacts Generation Z’s Purchase Intention on the TikTok shop platform
➢ The association between Trust and Purchase Intention
Trust is cogitated as a dominant construct in impacting consumer behavior, especially in the e-commerce circumstance where apprehensive information and spontaneous menaces are experienced recurrently (Jarvenpaa et al., 1999) According to the Theory of Reasoned Action (TRA), Trust generates positive attitudes toward businesses’ online transactions, which consequently diminishes hesitance and apprehension (Pavlou, 2003) Further, several researchers have empirically verified Trust situates the principal impact on Purchase Intention Jarvenpaa et al (1999) highlighted that Trust harbors a significant impact on purchase intention in different cultures Moreover, numerous other studies have also validated that online Trust positively affects Purchase Intention (Yoon, 2002; Grabner and Kaluscha, 2003; Pavlou, 2003; Gefen and Straub, 2004) Hence, based on the empirical concept of the earlier studies, the author proposes the third hypothesis regarding the connection between Perceived Usefulness and Purchase Intention in the following sentence:
H3: Trust positively impacts Generation Z’ Purchase Intention on the TikTok shop platform
➢ The association between Subjective Norm and Purchase Intention
Subjective Norm, representing perceived social approval or disapproval, influences behavioral intentions according to the Theory of Planned Behavior Research by Dewi et al (2020) found a significant correlation between Subjective Norm and online purchasing intentions in both genders Similarly, Al-Masaeed et al (2021) demonstrated the importance of Subjective Norm in regulating online purchase intentions among consumers, highlighting its role in shaping purchasing behaviors.
An online survey by Al-Maghrabi et al (2011) indicated that Subjective Norm determines consumers’ prolongation intention to virtual purchasing Furthermore, the study findings of Fairouz et al (2016) highlighted that Subjective Norm possesses a positive direct influence on consumers’ intent Hence, based on the empirical concept of the earlier studies, the author proposes the fourth hypothesis regarding the connection between Perceived Usefulness and Purchase Intention in the following sentence:
H4: Subjective Norm positively impacts Generation Z’ Purchase Intention on the TikTok shop platform
➢The association between Perceived Risk and Purchase Intention
Perceived Risk generally depicts the divergence among the consumers before purchasing products or services Perceived Risk could be contemplated as geographically subjective and could be amended by particular people (Bhasin et al., 2019) Perceived Risk is interrelated to consumers' perceived significance and the degree of menace once establishing a specific purchase intention (Cox and Rich, 1964) It is observed that purchasers would consider the diverse hazards connected with their buying behavior before purchasing commodities and services Generally, the lower the perceived risk of experience triggers to customers, the higher the guarantees that online platforms bring to customers From the online perspective, there is an assortment of uncertainties in conventional e- commerce, which upsurges the Perceived Risk of purchasers significantly (Xu et al., 2018)
In the study of Gerber et al (2014), the authors targeted to assess the impact of Perceived Risk on online purchasing intention in the South African market whereby the outcomes exhibited that Perceived Risk situates the influence on online purchasing behavior, and consumers who possess no purchase transaction online are assumed to not form any shopping online in the future Hence, based on the empirical concept of the earlier studies, the author proposes the fifth hypothesis regarding the connection between Perceived Risk and Purchase Intention in the following sentence:
H5: Perceived Risk negatively impacts Generation Z’ Purchase Intention on the TikTok shop platform
Once consumers implement the purchase behavior, the priorities contemplated are the Perceived Ease of Use and Perceived Usefulness Hence, the author recommends a research framework grounded on the theory of the facets influencing online purchasing, consumer behavior intent, and hypothetical research models on technology acceptance (TAM), as well as associated research papers on online shopping intention on social platforms of germane authors Specifically, in this model, five elements namely Perceived Ease of Use, Perceived Usefulness, Trust, Subjective Norm, and Perceived Risk bear the function as independent variables, whereas the Purchase Intention is cogitated as a dependent variable Moreover, although the previous models mentioned the mediating factors impacting the purchase
24 intention, due to a complicated attribute in analyzing, the author does not analyze these factors
The following diagram illustrates the association between five selected factors and Purchase Intention:
Summary of Chapter 2
Chapter 2 showcases the theoretical basis regarding the purchase behavior among customers, along with the connected definitions of the consumers’ purchase intention and the TikTok shop platform Following that, the study grounds on several previous research frameworks possessing the related topic in comparison to the author’s dissertation to propose the research framework
Figure 2.13 The Proposed Research Framework
[Image Source: Designed by the author]
RESEARCH METHODOLOGY
Research Procedure
The research process involves ten stages It begins with defining the research question and objective, which is then discussed and approved by the instructor The second stage entails gathering relevant literature and establishing the theoretical framework and research scale Subsequently, qualitative research is conducted to refine the model and scale The adjusted framework and scale are then utilized in quantitative research to analyze data The following stages involve evaluating data reliability through Cronbach's Alpha measurement, exploratory factor analysis, and linear regression Finally, the results are presented, and empirical recommendations are proposed to support the research topic.
Qualitative research
The study utilizes a scale to measure the degrees of five components influencing the purchase intention of Generation Z in Ho Chi Minh City The proposed scale is mostly grounded on an assortment of interrelated measurement studies in the national and global degrees; the study assesses the hypotheses using a Likert scale for each variable ranging from 1 to 5, including:
[Image Source: Designed by the author]
1 Strongly Disagree 2 Disagree 3 Neutral 4 Agree 5 Strongly Agree The scale articles are proposed in the following presentation:
Number Variable Archetype Scale Adjustable
The interaction on the online store is clear
Utilizing TikTok shop is understandable
1, Toan Do and Cuong Nguyen
You agree that online shopping does not oblige much of a mental attempt
Purchasing on TikTok shop does not compel many psychological endeavors
You feel that it is straightforward to buy goods on online stores
It is uncomplicated to implement purchase behavior on TikTok shop
It is straightforward to manipulate the system to accomplish what
It is uncomplicated to purchase the objects I desire on TikTok shop
The online market platform enhances my
TikTok shop augments my quality of trading
1, Toan Do and Cuong Nguyen
[Image Source: Designed by the author]
27 transaction’s quality once I purchase online
Online shopping via Lazada might help you save time
Shopping on TikTok shop saves my time
Online shopping via Lazada might help you save costs
Shopping on TikTok shop might assist me in saving costs
Online shopping via Lazada helps you discover and vary goods and services
I can straightforwardly collect information regarding products as well as diversify them based on TikTok shop
This online market foundation is a trustworthy site for buying goods
TikTok shop is a dependable platform for purchasing online
This online market platform provides honest information regarding products and trades in the right products,
TikTok shop furnishes honest information about goods once sold and delivered
28 quality, and designs as posted
This online market platform guarantees the procedures and terms (commitment and return) announced
TikTok shop complies with the progress and provisions (commitment and return) showcased
The online market platform permits examining goods before receiving goods
TikTok shop facilitates checking products before receiving products
People who impact my behavior assume that I should utilize the online shopping platforms
People who influence my behavior presume that I should access TikTok shop
Mulatu Tilahun et al (2023) People who are imperative to me assume that I should utilize the online shopping platforms
People who are salient to me presume that I should use TikTok shop
I have utilized the online marketing channels since people surrounding me also utilize them
I use TikTok shop because people surrounding me also harness it
People around me possess a positive attitude towards the online market channels
People surrounding me have a positive attitude towards TikTok shop
The provision of individual information on the internet is precarious
Furnishing personal information for TikTok shop is hazardous
Supplying bank accounts for online shopping is precarious
Furnishing bank accounts for TikTok shop might be betrayed
I might wait for commodities to be delivered
I might spend time waiting for merchandise to be dispatched
The goods would fail to respond to my satisfaction
The merchandise might not satisfy my expectations
I instantly recognize my PI1 1, Toan Do and Cuong
30 demand once you encounter the Lazada advertisements need once I meet TikTok shop advertisements
You consume your square time surfing and investigating products on the Lazada platform
I employ my square duration to surfing and searching for commodities on TikTok shop
You intend to purchase online in the future
I intend to participate in purchasing on TikTok shop shortly
You are conscious that the intent of online shopping will be practical to your family and your friends
I will encourage my family, friends, and acquaintances to shop on TikTok shop
According to the research framework and other previous studies compiled by several authors, the author proposes the drafted scale about five selected factors influencing the purchase intention among Generation Z on the TikTok shop platform in Ho Chi Minh City, encompassing Perceived Ease of Use (4 elements); Perceived Usefulness (4 elements); Trust
(4 elements); Subjective Norm (4 elements) and Perceived Risk (4 elements) Nevertheless, owing to the differences regarding characteristics of Generation Z along with the discrimination in terms of their consciousness, there might embrace distinct notions related to the purchase intention on the TikTok shop platform, which in turn, the drafted scale
31 might not be appropriate to factors influencing the buying intent among Generation Z on the mentioned platform in Ho Chi Minh City Hence, employing qualitative research to amend the research framework and the theoretical scale is evaluated as an essential issue
To optimize scale accuracy, a preliminary qualitative study was conducted using dyadic discussions to gather insights and refine the research framework The study targeted Generation Z consumers in Ho Chi Minh City aged 11-26, representing diverse genders and online shopping experience levels The small-scale qualitative research involved direct interviews in English to explore factors influencing purchase intentions on the TikTok Shop platform.
The author would conduct the screening questionnaire, which targets appropriate respondents who intend to figure out the purchasing service on the TikTok shop platform and who have experienced buying behavior on the TikTok shop platform, via the Google Form to filter appropriate objects related to the study and afterward, the author would send emails to verify the information of the 10 interviewees as well as support to them the time, place and the Google Meet links to participate in the dyadic discussion meeting, the preliminary screening questionnaire is showcased in Appendix 1
Afterward, the author would turn to the dyadic discussion guideline which is showcased in Appendix 2 to interview ten selected contestants
The required data for the study are factors influencing the purchase intention among Generation Z (from 11 years old to 26 years old) on the TikTok shop platform in Ho Chi Minh City The qualitative research gathers primary data by applying a dyadic discussion methodology in English version Specifically, the author and the research contestants would discuss the intention to purchase goods through the TikTok shop platform among the young generation in Ho Chi Minh City on the virtual application known as Google Meet The time of interviewing is intended to occur on 25 th and 26 th September 2023 from 30 minutes to 45 minutes per person and the participants are scheduled to discuss via the dyadic discussion guideline
Following a screening questionnaire, the author identified the ten most suitable customers for participation in a dyadic discussion meeting The list of selected customers is provided in Appendix 3.
According to the dyadic discussion among the ten customers, although 8/10 contestants expressed their acceptance attitude towards the purchasing behavior on the TikTok shop platform, they also concurred that the derived research model is acceptable Hence, the original research model is maintained and in turn, becomes the official research framework The following exhibition showcases the official framework after measuring progress via qualitative research:
Concerning the Perceived Ease of Use, according to the qualitative research, the customers assumed that the second, third, and fourth statements have a triplication in meaning Hence, they are merged into one statement, known as “Shopping on TikTok shop is uncomplicated” Furthermore, the customers said that the scale should embrace the observed criterion related to the convenient attribute comparisons among products, in turn, the statement known as “It is effortless to compare the attributes among goods on TikTok shop” is inserted into the componential scale The first statement is maintained
Figure 3.2 The Official Research Framework
[Image Source: Designed by the author]
Customer feedback from qualitative research revealed that the payment process on the TikTok Shop platform can be inconvenient This eliminates the original first statement The original fourth statement is redundant with the second statement, so it is removed while preserving the second statement Customers suggested incorporating more details into the third statement, including moving costs, leading to its adjustment: "Shopping on TikTok Shop helps me save expenditure on moving costs." Furthermore, customers demonstrated a tendency to increase purchases in response to attractive concessions or bundled items, prompting the inclusion of the statement "TikTok Shop furnishes compelling promotions."
Concerning the Trust, according to the qualitative research, the original fourth statement is eradicated because the customers said that not all the suppliers in the TikTok shop allow customers to reexamine the goods before receiving them, instead, a new statement is inserted into the scale, known as “TikTok shop will perform in the ablest interests of customers” through the contributions of customers The second and the third statements have reduced a part of the sentences, which turns into “TikTok shop furnishes honest information about goods” and “TikTok shop complies with the provisions (commitment and return) showcased”, respectively The first statement is maintained
Concerning the Subjective Norm, according to the qualitative research, the first and the second statements are merged into one statement, known as “Surrounding people, who might influence my behavior, embolden me to purchase goods on TikTok shop” The fourth statement is eradicated because customers expressed that they do not ground on the positive attitudes of surrounding people to access the TikTok shop but by their curiosity Furthermore, the customers said that they habitually based on the encouragement of mass media vehicles and the positive experiences from earlier customers to determine whether to utilize the TikTok shop for shopping Hence, two new statements, known as “Mass media embolden me to shop on TikTok shop” and “The positive judgments among previous customers embolden me to shop on TikTok shop” are inserted The third statement is maintained
Concerning the Perceived Risk, according to the qualitative research, the original second statement is eradicated because it is similar in comparison to the first statement The third statement is reduced to a part of the meaning, known as “The time for receiving goods
34 might be long” because customers expressed that they mostly concentrate on the ability of not receiving the goods ordered The other two statements are maintained
Concerning the Purchase Intention, according to the qualitative research, the second statement is eradicated because the customers said that this criterion is not associated with the purchase intention The first and the fourth statements are summarized as “I possess a purchasing need once I see TikTok shop advertisements” and “I will introduce to surrounding people in shopping on TikTok shop”, respectively The third statement is maintained
The following table showcases the scale after being adjusted, which is known as the official scale for quantitative research:
Number Variable Official Scale Enciphered
Utilizing TikTok shop is understandable PEOU1
It is effortless to compare the attributes among goods on TikTok shop PEOU2
Shopping on TikTok shop is uncomplicated PEOU3
Shopping on TikTok shop helps me save time PU1 Shopping on TikTok shop helps me save expenditure on moving costs PU2
TikTok shop furnishes compelling promotions PU3
TikTok shop is a dependable platform for purchasing online TR1
TikTok shop furnishes honest information about goods TR2
TikTok shop complies with the provisions (commitment and return) showcased TR3 TikTok shop will perform in the ablest interests of customers TR4
Surrounding people, who might influence my behavior, embolden me to purchase goods on SN1
Table 3.2 The Official Research Scale
[Image Source: Designed by the author]
Mass media embolden me to shop on TikTok shop SN2
I harness the TikTok shop platform because people surrounding me also harness it SN3 The positive judgments among previous customers embolden me to shop on TikTok shop SN4
Furnishing personal information for TikTok shop is hazardous PR1
The time for receiving goods might be long PR2 The merchandise might not satisfy my expectations PR3
I possess a purchasing need once I see TikTok shop advertisements PI1
I intend to participate in purchasing on TikTok shop shortly PI2
I will introduce to surrounding people in shopping on TikTok shop PI3
Quantitative research
Concerning the object of the quantitative research, the survey object is Generation Z (from
11 years old to 26 years old) living in Ho Chi Minh City and they have already shopped on TikTok shop The online questionnaire to the consumers is generated via Google Form and distributed by texting to the survey target group and grounding on their influence to collect more subjects The survey results are gathered during the period from October 18, 2023 to October 22, 2023 However, due to the limitations in time, the number of survey questionnaires from target groups of different ages is not equal
The survey questionnaire embraces three principal sections:
The first part is the screening questionnaire, which sorts the appropriate contestants
The second part is the personal information, which gets practical data from surveyed customers for deeper figuring out the variance between distinct groupings
The third part is the evaluation of customers regarding factors influencing the purchase intention on the TikTok shop platform
Specifically, once surveying the customers on a large scale, the author utilizes the Vietnamese questionnaire to access them because the surveyed objects of the study are Vietnamese people The survey questionnaire is showcased in Appendix 4 and Appendix 5
The target audience of this study was Generation Z customers, aged 11 to 26, who had made purchases on the TikTok shop platform By focusing on customers with prior shopping experience on TikTok, the study aimed to obtain accurate evaluations of their shopping experiences This decision excluded customers who had not shopped on the platform, as they may have faced confusion during the survey due to lack of experience.
In business administration, quantitative research employs convenience sampling, a non-probability method where researchers select subjects readily available Hair et al (1998) recommends a minimum sample size of five times the number of observed variables, calculated as N = 5*m Consequently, for the present study with 20 statements (m = 20), the minimum sample size is N = 100.
In this study, the author will implement the survey with more than 200 practical samples to gather the data and divert them into the SPSS 20 software to analyze the Cronbach’s Alpha reliability, the explanatory factors analysis, the Pearson correlation coefficient, and the regression analysis, since then, examining the research framework and scale
The testing reliability utilizing the Cronbach’s Alpha index is the method that allows the analyst to eliminate inappropriate variables and to form a boundary of refuse variables in the research procedure as well as assess the reliability of the scale by the coefficient through the Cronbach’s Alpha indicators Further, the exploratory factor analysis (EFA) is applied to diminish and summarize data Ultimately, after the exploratory factor analysis (EFA), the scale is put into the Pearson correlation coefficient and the linear regression analysis with
37 the input being the factors that have been identified to examine the degree of these factors' influence on the purchase intention on the TikTok shop platform of the Generation Z in Ho Chi Minh City
Specifically, Cronbach’s Alpha ranges from 0 to 1, and the higher the better The evaluation criteria are based on the following standards:
• 0.8 ≤ Cronbach’s Alpha ≈ 1: High-scale reliability
• 0.7 ≤ Cronbach’s Alpha ≈ 0.8: Good scale reliability
• Cronbach’s Alpha ≥ 0.6: Acceptable scale reliability
• Cronbach’s Alpha < 0.60: Unsatisfactory scale reliability
• Corrected Item – Total Correlation ≥ 0.3: Acceptable observed variables
Turning to explanatory factors analysis (EFA), this is a multivariate statistical method to explore the relationship between observed variables and identify the number as well as the structure of latent factors behind them The evaluation criteria in EFA embrace:
• 0.5 ≤ KMO (Kaiser-Meyer-Olkin) coefficient ≤ 1: To test the suitability of data for EFA
• Bartlett’s test of sphericity (Sig) < 0.05: To test the correlation of variables
• Total Variance Explained > 50%: To evaluate the degree of explanation of the factors
• Factor Loading > 0.5: To determine the degree of association of variables with factors
• Eigenvalue > 1: Variables are maintained in the analyzing framework
Turning to the Pearson correlation coefficient (r), this is a statistical method that is a number between -1 and 1 measuring the strength and direction of a linear relationship between two continuous variables The evaluation criteria in Pearson embrace:
• Sig < Alpha = 5%: There is a correlation between the independent and dependent variable
Ultimately, the multiple regression equation represents the relationship between the purchase intention and the factors influencing it The study will analyze the suitability of the model:
• Adjusted R 2 = 0: The estimated model is not appropriate
• Adjusted R 2 >< 0: The estimated model is appropriate
• Sig F < 0.05: The linear regression model matches with the database and can be utilized
• Sig t < 0.05: The independent variable impacts the dependent variable
• 1.5 < Durbin Watson < 2.5: The outcomes do not violate the first-order serial autocorrelation assumption (Yahua Qiao, 2011)
• Variance magnification factor (VIF) ≤ 10: No multicollinearity phenomenon.
Summary of Chapter 3
This chapter showcases the research methods and procedures The study forms a draft scale and follows the dyadic discussion to adjust a suitable scale for the research field in qualitative research As a result, the initial model of 24 variables in the draft scale has been adjusted to the official scale consisting of 20 variables to measure the intention to purchase goods on the TikTok shop platform among Generation Z in Ho Chi Minh City Then, the study mentions the standards in analyzing the reliability testing by Cronbach Alpha, exploratory factor analysis, and multiple regression in the quantitative research; moreover, the quantitative research design is done through a survey questionnaire with a convenience sampling method
RESEARCH OUTCOME
Data Collection Outcome
Out of the total number of surveys sent out, 452 responses were received, after preliminary screening, the results were: 206 valid responses and 246 invalid responses due to not meeting the research scope or target objective Therefore, a total of 206 responses after being checked for validity were included in the analysis for the research process.
Research Sample Information
Based on the reckoned data from 206 contestants, 95 individuals (46.1%) are men, and 111 individuals (53.9%) are women It is observed that the number of women participating in the survey is more than that of men
How long have you been shopping on TikTok shop?
Based on the reckoned data from 206 contestants, 56 individuals (27.2%) utilize TikTok shop under 3 months, 104 individuals (50.5%) utilize that platform from 3 months to 6 months and 46 individuals (22.3%) utilize TikTok shop over 6 months It is observed that
40 the group harnessing TikTok shop from 3 months to 6 months accounts for the largest number of ratings among the three categories.
Assessing The Scale Reliability based on Cronbach’s Alpha Implement
4.3.1 Analyzing Cronbach’s Alpha Reliability Coefficients regarding Independent Variables
4.3.1.1 Perceived Ease of Use Scale
The Perceived Ease of Use scale, comprising observed variables PEOU1, PEOU2, and PEOU3, demonstrates reliability due to a Cronbach's Alpha coefficient exceeding 0.6 The high correlation coefficients indicate a strong relationship between the observed variables and the PEOU scale, ensuring the dependability of subsequent analyses based on data from this scale.
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
The Perceived Usefulness scale consists of the observed variables: PU1, PU2, and PU3 with Cronbach’s Alpha coefficient = 0.817 (greater than 0.6), hence, its scale achieves reliability, the correlation coefficients of the total variable (Corrected Item - Total Correlation) are all
Table 4.4 PEOU Item-Total Statistics
41 greater than 0.3 Hence, the observed variables have a strong elucidation in meaning for the
PU scale Thereby, the reliability of the survey data on this scale guarantees the dependability for the following analyses
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
The Trust scale consists of the observed variables: TR1, TR2, TR3, and TR4 with Cronbach’s Alpha coefficient = 0.819 (greater than 0.6), hence, its scale achieves reliability, the correlation coefficients of the total variable (Corrected Item - Total Correlation) are all greater than 0.3 Hence, the observed variables have a strong explanation in meaning for the
TR scale Thereby, the reliability of the survey data on this scale guarantees the dependability for the following analyses
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
Table 4.6 PU Item-Total Statistics
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
The Subjective Norm scale comprises four observed variables (SN1, SN2, SN3, and SN4) with a Cronbach's Alpha coefficient of 0.729, indicating satisfactory reliability However, the Corrected Item - Total Correlation coefficients for SN1, SN3, and SN4 exceed the recommended threshold of 0.3, while SN2 falls below it (0.294), indicating potential issues with the scale's internal consistency specifically for SN2.
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
Table 4.8 TR Item-Total Statistics
Table 4.9 SN Reliability Statistics (the 1st time)
Table 4.10 SN Item-Total Statistics (the 1st time)
Hence, SN2 has a weak correlation in meaning for the SN scale After eradicating SN2, the Cronbach’s Alpha process is implemented for the second time In this time, the Cronbach’s Alpha in total is 0.789, and the correlation coefficients of the total variable (Corrected Item - Total Correlation) are all greater than 0.3 Thereby, the remaining variables are maintained and they have a strong elucidation in meaning for the SN scale
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
The Perceived Risk scale consists of the observed variables: PR1, PR2, and PR3 with Cronbach’s Alpha coefficient = 0.740 (greater than 0.6), hence, its scale achieves reliability, the correlation coefficients of the total variable (Corrected Item - Total Correlation) are all greater than 0.3
Table 4.11 SN Reliability Statistics (the 2nd time)
Table 4.12 SN Item-Total Statistics (the 2nd time)
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
Hence, the observed variables have a strong elucidation in meaning for the PR scale Thereby, the reliability of the survey data on this scale guarantees the dependability for the following analyses
Scale Mean if Item Deleted
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
4.3.2 Analyzing Cronbach’s Alpha Reliability Coefficients regarding Dependent Variable
The Purchase Intention scale consists of the observed variables: PI1, PI2, and PI3 with Cronbach’s Alpha coefficient = 0.740 (greater than 0.6), hence, its scale achieves reliability, the correlation coefficients of the total variable (Corrected Item - Total Correlation) are all greater than 0.3
Cronbach's Alpha Cronbach's Alpha Based on Standardized Items N of Items
Table 4.14 PR Item-Total Statistics
Scale Variance if Item Deleted
Cronbach's Alpha if Item Deleted
The observed variables have a strong elucidation in meaning for the PI scale Thereby, the reliability of the survey data on this scale guarantees the dependability for the following analyses.
The Exploratory Factor Analysis
4.4.1 Analyzing Exploratory Factor Analysis regarding Independent Variable
The author eradicates SN2 and analyzes 16 observed variables in the first EFA analysis:
Kaiser-Meyer-Olkin Measure of Sampling Adequacy .821
The EFA analysis results for the first time illustrate that KMO = 0.821 (0.5 ≤ KMO ≤ 1) and the significance level was 0 (Sig=0.000 50%, adapting the requirement This factor elucidates 69.873% of the data variation of the 3 observed variables participating in EFA Moreover, the loading coefficients of the 3 observed variables are all greater than 0.5, hence these observed variables all contribute meaningfully to the model (Appendix 9).
Research Scale and Research Framework Adjustment
An exploratory factor analysis (EFA) revealed that the "Factors Impacting the Purchase Intention of Generation Z on the TikTok Shop Platform in Ho Chi Minh City" scale comprises 15 observed variables measuring five distinct factors.
Number Variable Official Scale Enciphered
Utilizing TikTok shop is understandable PEOU1
It is effortless to compare the attributes among goods on TikTok shop PEOU2
Shopping on TikTok shop is uncomplicated PEOU3
Shopping on TikTok shop helps me save time PU1 Shopping on TikTok shop helps me save expenditure on moving costs PU2
TikTok shop furnishes compelling promotions PU3
TikTok shop is a dependable platform for purchasing online TR1
TikTok shop furnishes honest information about goods TR2
TikTok shop complies with the provisions (commitment and return) showcased TR3
4 Subjective Surrounding people, who might influence my SN1
Table 4.23 The Adjusted Research Scale
[Image Source: Designed by the author]
Norm behavior, embolden me to purchase goods on
I harness the TikTok shop platform because people surrounding me also harness it SN3 The positive judgments among previous customers embolden me to shop on TikTok shop SN4
Furnishing personal information for TikTok shop is hazardous PR1
The time for receiving goods might be long PR2 The merchandise might not satisfy my expectations PR3
I possess a purchasing need once I see TikTok shop advertisements PI1
I intend to participate in purchasing on TikTok shop shortly PI2
I will introduce to surrounding people in shopping on TikTok shop PI3
Concerning the research model, all 5 factors are maintained to be analyzed in the following procedure.
Linear Regression Analysis
4.6.1 Analyzing the Pearson Correlation Coefficient
After the EFA analysis, the author generates the representative variables for each factor by calculating the average of the observed variables of that factor and naming the new representative variable with the symbol that encodes the factors Specifically, there are 6 new representative variables created from groups of observed variables, including PEOU,
PU, TR, SN, PR, and PI
PI PEOU PU TR SN PR
** Correlation is significant at the 0.01 level (2-tailed)
* Correlation is significant at the 0.05 level (2-tailed)
The Pearson outcomes depict that the independent variables PEOU, PU, TR, SN have a positive correlation with the dependent variable PI because the Pearson Correlation of the independent variables and the dependent variable are all positive, in which the independent variable PR has a negative correlation with the dependent variable PI because the Pearson Correlation of the independent variable and the dependent variable is negative The Sig
52 coefficient of the independent variables all have values < 0.05, hence they are statistically significant Thereby, all 5 variables will be included in the regression analysis
The regression formula depicts the relationship between the independent factors and the dependent factor as follows: Y = βo + β1PEOU + β2PU + β3TR + β4SN - β5PR + ε
• Y is the dependent variable representing the predicted value of purchase intention on TikTok shop (PI)
• PEOU, PU, TR, SN, and PR are independent variables in order: Perceived Ease of Use, Perceived Usefulness, Trust, Subjective Norm, and Perceived Risk
Model R R Square Adjusted R Square Std Error of the Estimate
1 828 a 685 677 35611 1.801 a Predictors: (Constant), PR, PEOU, SN, PU, TR b Dependent Variable: PI Based on the Model Summary, the Adjusted R Square coefficient is 0.677g.7% This signifies that the independent variables included in the regression model account for 67.7% of the variation of the dependent variable The Durbin Watson statistic is utilized to test for first-order serial correlation and shows that the model does not violate the assumptions of multivariate regression because the Durbin-Watson value obtained is 1.801 (within the range of 1.5 to 2.5) Thereby, there is no autocorrelation in the residuals of the linear regression model Thus, the multivariate regression model satisfies the conditions for evaluating and validating the fit for the research outcomes
Model Sum of Squares df Mean Square F Sig
Total 80.592 205 a Dependent Variable: PI b Predictors: (Constant), PR, PEOU, SN, PU, TR
According to the ANOVA test, Sig F = 0.000 < 0.05 signifies that the theoretical model fits the research data, and the independent variables are correlated with the dependent variable Based on the analysis results, the regression results depict that, 5 independent factors possess a significant level of sig < 0.05, embracing PEOU (0.000), PU (0.000), TR (0.000),
The regression model exhibits no significant multicollinearity, as indicated by low VIF values between 1.144 and 1.375, all below the threshold of 10 Moreover, the model's significance is established, with Beta coefficients for PEOU (0.433), PU (0.306), and TR (0.228) contributing significantly to the model's predictive capabilities.
SN (0.113) > 0 indicate that these independent variables have a positive impact on the dependent variable, whereas the Beta coefficient of the independent variable PR (-0.143) <
0 indicates that this independent variable has a negative impact on the dependent variable The relationship between the dependent variable and the independent variables is expressed in the following equation:
• The linear regression model without standardization
Y = 1.130 + 0.384*PEOU + 0.231*PU + 0.184*TR + 0.09*SN + (- 0.153) *PR + ε
• The linear regression model with standardization
Y = 0.433*PEOU + 0.306*PU + 0.228*TR + 0.113*SN + (- 0.143) *PR + ε
According to the standardized regression equation:
The factor PEOU has the strongest positive impact on the factor PI (Beta = 0.433; Sig 0.000); this signifies that once the variable PEOU increases by 1 standard deviation unit, the variable PI increases by 0.433 standard deviation units
The factor PU has a positive impact on the factor PI (Beta = 0.306; Sig = 0.000); this signifies that once the variable PU increases by 1 standard deviation unit, the variable PI increases by 0.306 standard deviation units
The factor TR has a positive impact on the factor PI (Beta = 0.228; Sig = 0.000); this signifies that once the variable TR increases by 1 standard deviation unit, the variable PI increases by 0.228 standard deviation units
The factor SN has a positive impact on the factor PI (Beta = 0.113; Sig = 0.012); this signifies that once the variable SN increases by 1 standard deviation unit, the variable PI increases by 0.113 standard deviation units
The factor PR has a negative impact on the factor PI (Beta = - 0.143; Sig = 0.001); this signifies that once the variable PR increases by 1 standard deviation unit, the variable PI decreases by - 0.143 standard deviation units
The first assumption is that the residuals in the regression must be approximately normally distributed The residuals might not follow a normal distribution for reasons such as: using the wrong model, the variance is not constant, the number of residuals is not large enough to analyze, etc Hence, the Histogram Chart is used to evaluate the normal residual distribution
In the following chart, the mean value Mean is close to 0, the Standard Deviation is 0.988, which is close to 1, and the residual value columns are distributed in a bell shape, which means the residual distribution is approximately normal
For the Normal P-P Plot chart, if the percentile points in the distribution of the residuals are concentrated in a diagonal line, it means the residuals have a normal distribution Hence, the assumption of normal distribution of residuals is not violated
In the mentioned chart, the data points are concentrated around the diagonal, some points deviate from the diagonal but not too much Hence, the residuals are approximately normal
4.6.3.2 Linear Relationship Between Dependent Variable and Independent Variable
The second assumption is that there must be a linear relationship between the dependent variable and the independent variables The Scatter Plot between the standardized residuals and the standardized predicted value assists the author in detecting whether the current data violates the linear association assumption or not If the standardized residuals are randomly distributed around the 0-intercept line and the shape forms a straight line, the author could conclude that the linear relationship assumption is not violated
In the following chart, the distributed data points are concentrated around the zero ordinate line and tend to form a straight line, so the linear relationship assumption is not violated
The third assumption is that the variance of the residuals does not change (known as homoscedasticity) If heteroscedasticity occurs, the results of the regression equation might be inaccurate, skewing the outcomes compared to reality, thereby causing researchers to misjudge the quality of the linear regression equation
Research Outcome
After analyzing the data from 206 survey responses, four hypotheses were accepted with a positive impact on the intention to utilize TikTok shop, and one hypothesis was accepted with a negative impact on the intention to utilize that platform
Perceived Ease of Use possesses a positive influence on Purchase Intention in utilizing TikTok shop
Perceived Usefulness possesses a positive influence on Purchase Intention in utilizing TikTok shop
Trust possesses a positive influence on Purchase Intention in utilizing TikTok shop
Subjective Norm possesses a positive influence on Purchase Intention in utilizing TikTok shop
Perceived Risk possesses a negative influence on Purchase Intention in utilizing TikTok shop
After conducting the research through Cronbach’s Alpha reliability test, exploratory factor analysis EFA, and linear regression analysis, the results of the theoretical model validation
[Image Source: Designed by the author]
58 show that there are 5 factors affecting the online shopping behavior on TikTok shop of Generation Z.
Summary of Chapter 4
In Chapter 4, the data collected from 206 respondents are analyzed through 4 phases The first phase is to analyze the characteristics of the sample Then, in phase 2, the scale is analyzed by Cronbach’s Alpha reliability coefficient for each observed variable in the factors to figure out the variables that are not correlated and eliminate the variable SN2 In phase 3, exploratory factor analysis EFA is performed for 16 independent variables The outcomes of EFA depict that the variable TR4 has a double loading factor and is eliminated, meanwhile, the factor groups are maintained Next, the analysis is performed for the dependent variables to ensure practical significance for EFA validation Ultimately, before performing regression analysis, the group performs correlation analysis of 5 dependent variables with the intention factor to utilize TikTok shop for shopping and obtains the outcome that all 5 factors are correlated with the PI to buy on TikTok shop Hence, all 5 variables will be included in the regression analysis The results show that all 5 independent variables in the multiple regression equation have a significant impact on the dependent variable (with a significance level of Sig < 0.05)
[Image Source: Designed by the author]
CONCLUSION
The major outcomes of the study
The study surveyed with the online survey method using a Google Form 452 contestants are participating in the online survey After gathering data, 206 samples adapted to the requirements and then proceeded to be analyzed by the SPSS 20.0 software According to the outcomes of Cronbach’s Alpha reliability assessment for the scales of 5 factors including 20 observed variables, the Reliability Statistics coefficient of 5-factor groups was above 0.6 (meeting the requirement), in which most of the observed variables had Item- Total Statistics values above 0.3, except for the SN2 variable with a reliability of 0.294 Thereby, the SN2 variable was eliminated, and the Cronbach’s Alpha reliability analysis of the Subjective Norm category was performed for a second time After implementing Cronbach’s Alpha once again, the factor groups and observed variables all met the requisites Afterwards, the author performed the exploratory factor analysis (EFA) for the dependent variable and independent variables Concerning the dependent variable, all indicators of the 3 observed variables met the requirements Concerning the independent variables, most of the factor groups and observed variables met the requirements, except for the TR4 variable that had to load twice in the rotated matrix Thereby, the TR4 variable was eliminated and the EFA was run for a second time The outcomes of the EFA analysis at this time depicted that the indicators of the remaining factor groups and observed variables all met the requisites Hence, the proposed research model still retained 5 factors affecting Generation Z’s intention to utilize TikTok shop for shopping Next, the author proceeded to examine the correlation between independent variables and dependent variable with the Pearson test and found that independent variables were eligible to be included in the regression model The normalized regression model is:
Y = 0.433PEOU + 0.306PU + 0.228TR + 0.113SN + (- 0.143) *PR + ε
The regression model with Adjusted R Square of 67.7%, meaning that the model with independent variables elucidated 67.7% of data fit (according to table 4.28) Among them, the factor that had the strongest positive effect on the intention to use was Perceived Ease of Use (PEOU) with Beta coefficient = 0.433, the factor that had the lowest positive effect on the intention to use was Subjective Norm (SN) with Beta coefficient = 0.113 and the factor that had the negative impact on the intention to use was Perceived Risk (PR) with Beta coefficient = -0.143
The appropriate recommendation
Based on the research outcomes, the author proposes several recommendations for augmenting the purchase intention on TikTok shop among Generation Z as follow:
Concerning the Perceived Ease of Use, which intensely impacts the purchase intention on TikTok shop of Generation Z with a Beta coefficient of 0.433 This factor is exemplified as the major pretext influencing the buying intent of the young generation Currently, TikTok shop performs well in establishing an attractive shopping interface with visual product images, in the same manner, bestowing a straightforward approach for Generation Z to compare the attributes among similar goods to stimulate their shopping demands This enhances the competitive advantage of TikTok shop over other e-commerce sites on the market By maintaining a visual and intimate commerce interface with an assortment of product categories combined with customer support to compare attributes between products of the same type, the author proposes that TikTok shop should list product categories in grid search form along with attaching product information and feedback from previous purchasers, TikTok shop could attract a variety of young people to utilize its platform Concerning the Perceived Usefulness, which impacts the purchase intention on TikTok shop of Generation Z with a Beta coefficient of 0.306 Besides the general benefits of online shopping on TikTok shop namely saving time, saving transportation costs, and gaining attractive discounts, TikTok shop should generate other benefits for consumers such as furnishing flexible payment methods with standardized procedures to augment the competitive advantage rather than its competitors Furthermore, TikTok shop necessitates to endeavor to enhance its image and improve product quality according to the current predispositions among the young generation such as expressing their identity and opinions, as well as investing in appealing marketing strategies to stimulate Generation Z widely conscious in terms of the product
Concerning the Trust, which impacts the purchase intention on TikTok shop of Generation
To enhance trust among Generation Z consumers, TikTok Shop must prioritize transparency and accountability This involves providing accurate product descriptions and vibrant visuals to address concerns over false advertising Additionally, the platform should enforce strict penalties for sellers engaging in fraudulent practices to prevent further customer dissatisfaction and hesitation in making purchases.
61 towards customers namely delivering incorrect products and poor-quality goods, as well as have policies to ensure customer benefits such as returns, warranty, and personal information security policies to encourage customers to be more confident in shopping, in the same manner, TikTok shop should always strive for customer advantages by handling their complaints and absorbing their contributions
Concerning the Subjective Norm, which impacts the purchase intention on TikTok shop of Generation Z with a Beta coefficient of 0.113 In the current situation, TikTok shop performs well in its mission of investing in marketing campaigns to assess online consumers, especially Generation Z In addition to relying on the advice of acquaintances and previous customers to determine whether to utilize TikTok shop for their shopping, the author proposes that TikTok shop should invest in music products and brands to enhance recognition Since there, Generation Z will be influenced by KOLs and purchase the products that KOLs advertise, and then they will automatically introduce and promote the products once they recognize that it is a good product Furthermore, TikTok shop should harness preferential policies for referring others once purchasing and promoting communication through other social media platforms namely Instagram or Facebook
Concerning the Perceived Risk, which negatively impacts the purchase intention of TikTok shop of Generation Z with a Beta coefficient of -0.143 According to the outcomes, Generation Z mostly concurs with the observed variables in the Perceived Risk category In other words, if furnishing private information for TikTok shop might be betrayed, customers will not be encouraged to access that platform Furthermore, if the sellers dispatch erroneous products as ordered by customers and the delivery time is prolonged rather than the scheduled duration, customers might not advocate for the next shopping time once they choose the appropriate e-commerce base Hence, the author proposes that TikTok shop should deliberate on shielding the personal information of customers by forming a multi- layer protection system with internal encryption, as well as consistently updating the distributing situation attached to the TikTok shop’ application for customers to observe their ordered goods, and ultimately, TikTok shop should furnish a re-examine policy for customers to avoid the unexpected situations that might occur once receiving goods and to give credence to customers in terms of the sellers on that mentioned base
The restriction of the study
The author has made great efforts in conducting this study, however, due to time constraints and the scope of the survey, the paper still possesses several unavoidable limitations
Firstly, this study only concentrates on researching within the scope of Generation Z belonging to Ho Chi Minh City To gain a more comprehensive picture of Generation Z’s evaluation of the factors impacting the purchase intention on TikTok shop, more studies at larger scales should be implemented This is, in turn, also the direction for future research Secondly, this study only evaluates the scales by Cronbach’s Alpha reliability coefficient and exploratory factor analysis (EFA), while the theoretical model is tested by multiple regression analysis Currently, there are other state-of-the-art approaches and gadgets for measuring, evaluating scales, and analyzing theoretical models more accurately Thirdly, this study utilizes the convenience sampling technique Hence, the generalizability of the research outcomes may not be appreciated
Ultimately, there might be other components that establish Generation Z’s purchase intention on TikTok shop that are not mentioned in this research Hence, future research should supplement and adjust the factors forming the purchase intention on that platform among Generation Z.
Summary of Chapter 5
Chapter 5 targets to conclude and summarize the research outcomes This chapter consists of three major parts: (1) summarizing the main findings of the study; (2) proposing some recommendations; and (3) limitations of the topic and directions for future research
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My name is Dao Diem Trinh, I am a final-year student at Ho Chi Minh City University of Technology and Education (HCMUTE) Currently, I am conducting a research project entitled: “ A Study on Factors Impacting the Purchase Intention of Generation Z on The
TikTok Shop Platform in Ho Chi Minh City ” and I am gathering practical notions related to my project from you to better analyze the purchase intention among Generation Z on the TikTok shop platform in Ho Chi Minh City Hence, I expect that you can spare time to respond several questions in the preliminary screening questionnaire for me All the rejoinders you provide will be preserved confidential and only utilized for research purposes Your judgments are valuable for the study
I am sincerely gratitude for your contributions!
2 The Preliminary Screening Questionnaire (applied for qualitative research)
Question 1: Have you utilized the TikTok platform?
B: No, I have not But I intend to inquire into it
C: No, I have not I also do not intend to inquire into it
Question 2: Did you participate in any research survey relating to this topic within the past three months?
C: No, I have not I also do not intend to inquire into it
Question 3: Have you had the knowledge regarding online shopping platforms?
Question 4: Have you experienced purchasing on the TikTok shop platform?
B: No, I have not But I intend to inquire into it
C: No, I have not I also do not intend to inquire into it
Question 5: Have you purchased goods on the TikTok shop platform within the past three months?
Question 6: How long will you purchase commodities on the TikTok shop platform?
Question 7: Are you living in Ho Chi Minh City?
Question 8: Are you at the age norm from 11 years old to 26 years old?
Question 9: Can you participate in the dyadic discussion via Google Meet in September
Question 10: Please choose the appropriate time to participate in the interview (Please choose all the able time you can join in the interview)
A: 9am to 9:45am on Monday (25 th September 2023)
B: 10am to 10:45am on Monday (25 th September 2023)
C: 11am to 11:45am Monday (25 th September 2023)
D: 2pm to 2:45pm Monday (25 th September 2023)
E: 3pm to 3:45pm Monday (25 th September 2023)
F: 4pm to 4:45pm Monday (25 th September 2023)
G: 9am to 9:45am on Tuesday (26 th September 2023)
H: 10am to 10:45am on Tuesday (26 th September 2023)
I: 11am to 11:45am on Tuesday (26 th September 2023)
J: 2pm to 2:45pm on Tuesday (26 th September 2023)
K: 3pm to 3:45pm on Tuesday (26 th September 2023)
L: 4pm to 4:45pm on Tuesday (26 th September 2023)
Question 11: Please leave the contact information, including your name and your email address or your phone number
My name is Dao Diem Trinh, I am a final-year student at Ho Chi Minh City University of Technology and Education (HCMUTE) Currently, I am conducting a research project entitled: “ A Study on Factors Impacting the Purchase Intention of Generation Z on The
TikTok Shop, targeting Generation Z consumers in Vietnam, examines factors influencing their purchase intentions This study identifies the key drivers that shape their shopping behavior on the platform By understanding these factors, TikTok managers can optimize their platform to enhance the user experience and drive increased sales among this influential demographic.
I am sincerely grateful for your contributions!
Question 1: From your perspective, which imperative factors influencing the purchase intention on the TikTok shop platform? Explanation (No evocation)
Question 2: Can you contribute your viewpoints regarding the spots needing to be amended/ replenished/eradicated in the proposed list of five factors influencing the customers’ purchase intention on the TikTok shop platform? (Showcase five mentioned elements) Five factors appear in the study are: Perceived Ease of Use, Perceived Usefulness, Trust, Subjective Norm, Perceived Risk
Question 3: In the mentioned list of five factors influencing the purchase intention, from your perspective, which is the most imperative factor/ the second salient factor and the third salient factor? Explanation
Question 4: From your perspective, which other factors you deem to be imperative in influencing the customers’ purchase intention? Explanation
Question 5: Can you contribute your viewpoints regarding the spots needing to be amended/ replenished/eradicated in the following list of tentative statements to measure the determinants influencing the Generation Z’ purchase intention on the TikTok shop platform? (Showcase the theoretical scale)
3 The grateful expression to respondents
THE LIST OF TEN CUSTOMERS PARTICIPATING IN THE DYADIC
DISCUSSION MEETING Number Name Gender Age Occupation Study Area/ Work Area
1 Le Minh Phuc Male 11 Pupil Hoa Lu Secondary School
2 Dao Trung Nhan Male 15 Pupil Duong Van Thi High
Khoi Male 17 Pupil Nguyen Huu Huan High
4 Dao Trung Tin Male 18 Student
Ho Chi Minh City University of Technology and Education
Ho Chi Minh City University of Agriculture and Forestry
Acecook Vietnam Joint Stock Company
Ho Chi Minh City University of Technology
Ho Chi Minh City University of Technology and Education
9 Tran Kim Chi Female 23 Bank
Vietnam International Commercial Joint Stock
10 Le Tan Hung Male 24 Student Ho Chi Minh City
A STUDY ON FACTORS IMPACTING THE PURCHASE INTENTION OF GENERATION Z ON THE TIKTOK SHOP PLATFORM IN HO CHI MINH CITY
My name is Dao Diem Trinh, I am a final-year student at Ho Chi Minh City University of Technology and Education (HCMUTE) Currently, I am conducting a research project entitled: “ A Study on Factors Impacting the Purchase Intention of Generation Z on The