Faculty of Commerce, Law and Management (ETDs)

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    Exploring factors that influence e-commerce customer experience in South Africa
    (University of the Witwatersrand, Johannesburg, 2020) Mahange, Palesa; Balabanoff, Garth
    Purpose - The world of business has noticed an important shift in the way trade activities are done with the universal retail landscape continuously changing due to the evolution of e-commerce, challenging sellers and creating a competitive environment. The South African online customer base is still gradually growing with low penetration and currently a small target market. However, the South African online market is slow in growth when compared to its developed counterparts, impacting the ambitious growth plans for the online South African market and making it more challenging. Highlighting the role of customer experience and expanding on the value add to consumers are unquestionably important aspects for the long-term survival of any business. Therefore, the purpose of the study is to examine the influence of online store factors on e- commerce customer experience in the context of the online landscape in South Africa. Design/methodology – Qualtrics was used for the online survey, 252 valid responses were collected from males and females who are e-commerce users and non-users for the past 12 months between the ages of 18 – 64 years in South Africa. MATLAB modelling was used to test the hypothesis of this study. Findings – Results revealed that e-commerce customer experience is influenced by online communication, online interpersonal communication and loyalty programmes. In contrast online merchandise, online post-transactional services and online store atmosphere were found to have non-significant influence on e-commerce customer experience. Research limitations - The area where the research is conducted is a limitation as it is considered a developing country. However, the researcher urges other researchers to replicate the study from other different countries. The research is limited to consumers who are users and non-users of e-commerce platforms for the past 12 months. There may be delays in response time for the online questionnaire from the randomly selected participants. The randomly selected participants may pose a constraint to the research and not consent to taking part in the online survey. Distribution of questionnaire (E.g. email, WhatsApp and LinkedIn), survey could end up in junk mail or ignored. The study focuses on certain aspects that lead to the influence of e-commerce customer experience and not the adoption. Originality/value – Marketing, retail and distribution researchers recognize little knowledge on the contribution on online store factors to e-commerce customer experience. This study represents original research that encourages online businesses to employ the adopted model as a new marketing thought in designing robust online customer experience strategies to capture the South African market.
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    Airport Travellers' Experiences of e-Commerce Transactions
    (University of the Witwatersrand, Johannesburg, 2023) Sebola, Nonhlanhla Louisa
    Purpose: The study aims to investigate the relationships among airline service quality, customer experience, brand loyalty, and repurchase intention as these impact air travelers' experiences of the e-commerce transactional interface with multiple sales channels. Methodological approach: A self-administered structured questionnaire was designed using Hammerschmidt's (2016) 5C model constructs to collect responses from 30 airport travelers at OR Tambo International Airport, South Africa. Using Pearson correlations to determine the relationships among the variables under investigation, and regression analysis for testing hypotheses and the variables' predictability in the conceptual model. Findings: Evidence confirmed the positive associations among service quality, brand loyalty, and customer satisfaction as mediating factors with customer experience. The overall outcomes highlight the need for further inquiry into the 5C model's applicability in airline service quality. Additionally, the multiple unintegrated sales channels were a cause of concern, evidenced by low ratings on the seamless transaction experience. Highlighting the need for enhancement of the relationship, and intentional engagement with partners in the air travel value chain. Originality: Viewing service quality as a multidimensional construct, the study proposed the 5C model’s applicability to enhance the customer experience in the airline e-commerce transactions. Limitations: The outcomes must be considered within the spatial limitations and data collection timeframe granted by the Airports Authority, impacting the results' generalizability. Practical implications: The preliminary study confirmed the associations between various e-commerce service quality factors and airport travelers' experiences
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    Social Media Marketing and Brand Awareness and its effect on online shopping customer loyalty
    (University of the Witwatersrand, Johannesburg, 2022) Sumani, Srishti
    The main research problem is examining the influence of Social Media Marketing and Brand Awareness and its effect on online shopping customer loyalty. Research Methodology: This research will use the method of deriving data and analysing the data through the Quantitative method of study. There are many research designs, however this study uses the cross-sectional research design method (Bryman, 2012). Surveys form a part of cross-sectional designs. This research will use the method of deriving data and analysing the data through the Quantitative method of study. This research uses a non – probability method of sampling. Cross sectional research design is a type of statistical technique where information is gathered through many cases at a time, to gather quantitative data and show a sense of alliance within the different case variables (Bryman, 2016g). There are many quantitative methods in relation to data analysis, however this study will use the Descriptive Statistics, Structural Equation Model (SEM) as well as the Confirmatory Factor Analysis (CFA) to study the responses and consolidate the conclusion (Bryman, 2012). Research Results: A detailed study was conducted to study the concept of customers, customer loyalty, customer satisfaction as well as customer relationship management strategies with reference to brand referrals. The survey was distributed to the customers of Sixty60. This survey was insightful because the questions outlined various questions that were in sync with the influence of social media. The survey determined that social media indeed has an influence on brand awareness; social media brand awareness through Facebook and Instagram leads to customer loyalty and whether this loyalty leads to brand referrals. The managerial and policy implications states that this research can be used by companies to understand Social Media Marketing and Brand Awareness and its effect on online shopping customer loyalty. The results can be used by companies in order to understand how they can use social media for their business as well as whether social media affects their business type. The theoretical implication of this theory is the fact that social media influences brand awareness and customer loyalty in the online shopping sector, thus the results are aligned with these implications
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    The influence of perceived risk, trust and security on the online shopping behaviour: A South African perspective
    (University of the Witwatersrand, Johannesburg, 2022-06) Hlatshwayo, Mthokozisi; Anning, Thomas Dorson
    The Online Retail in South Africa 2022 study conducted by World Wide Worx and MasterCard reveals a 30% growth in online retail in South Africa. This brings the total value of online retail in South Africa to R55 billion. It follows 40% growth in the previous year, which resulted in a total of R42,3 billion in 2021 (Worx, 2022). Based on this result, it can be concluded that the growth of online retail stems not from an increase in consumer demand, but from a shift in consumers' purchasing behaviour from physical shops to online stores and apps (Worx, 2022). As a result of this fact, it is evident that South African e-commerce has made significant progress. Several studies have found that, in addition to other factors, consumers' perceptions of risk and trust influence their online shopping behaviour (Aseri, 2021). Therefore, this study needed to investigate the extent to which perceived risk, trust and security risk shape online shopping behaviour from a South African perspective. After confirming the survey instrument's psychometric properties, a conceptual model was created and tested. The hypothesis was tested using IBM SPSS 27 software. Along with a quantitative approach, a descriptive research method has been used in the current study. A structured tool was initially used to collect 262 responses, but after carefully examining the data, only 242 reliable responses were used for the model's analysis and evaluation. The research employs descriptive analysis, correlation analysis, multiple regression analysis, and path analysis. According to the findings, perceived ease of use (PEOU) and perceived usefulness (PU) have a positive influence on online shopping attitudes (SA). Furthermore, the findings show that online shopping attitude (SA) has a positive influence on online shopping persistence (SC). In addition, the moderation results reveal that the moderating variables Trust in E-commerce (TE), Perceived Risk (PR), and Perceived Security Protection (PSP)/ cybersecurity risk (CR) were significant and indicated that they would moderate the relationship between online Shopping Attitude and online Shopping Continuance. The results of the researchyield helpful insights for retailers by giving them a comprehensive overview of the factors analysed in the study and explaining how they affect customers' online buying behaviour. In addition, this research includes an investigation of demographic characteristics and their impact on diverse factors. These findings will be beneficial to retailers as they discern the attitudes of different demographics concerning e-commerce
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    Taxing e-commerce in South Africa – A critical look at South Africa’s income tax provisions in relation to international trends
    (University of the Witwatersrand, Johannesburg, 2023) Takor, Ayuk Ndiep; Parbhoo, Misha
    Global digitalisation continues to accelerate its impact on economies around the world, triggering changes which challenge the rules for taxing international business income. These challenges create opportunities for companies with activities in multiple jurisdictions to leverage on their technological capacities and capitalize on the absence of synergies between the tax systems of jurisdictions in which they operate, to optimise their tax burden, to the detriment of the markets in which their profits are generated. From a South African perspective, the growth and evolution of the digital economy therefore brings a primary concern to the forefront of the domestic fiscal agenda – how should digital activities be categorised for income tax purposes, and what are the elements necessary in order to build the appropriate taxing framework for these activities? A critical analysis of key international tax guidelines such as the OECD BEPS Action Plan, and a qualitative and comparative analysis of the approach adopted to the questions above by key jurisdictions such as the UK and Nigeria, shows that there are certain factors which have achieved global consensus on their key nature to taxing the digital economy, and are now international trends to note when defining the tax treatment of income from e-commerce. While South Africa’s current income tax laws are able to tax income earned by non-residents from sources within the Republic, the digitisation of business and increased sophistication of digital business models does not always allow for the apprehension or proper categorisation of this income for tax purposes. South African legislature needs to draw inspiration from theseinternational trends to build an appropriate framework for taxing income earned through the digital economy, while balancing a drive to generate fiscal revenue, with the need to stimulate domestic growth and attract foreign investment.
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    Factors influencing e-commerce channels in the life insurance industry in South Africa
    (2022) Mazubane, Nokwethemba Judith
    General adoption of e-commerce in South Africa is increasing in other product areas such as electronic goods, general improvement of Internet infrastructure and accessibility. Adoption of smartphone technology and cell phone penetration increases the adoption of technology and creates opportunities for the insurance market to distribute their products using these channels. Companies that master digital transformation drive significantly higher profits. With rapid change to the insurance sector driven by digital transformation, it is prudent for insurance providers to provide e-commerce channels for customers. The purpose of this study is to discover the factors that influence the success of life insurance ecommerce channels in South Africa. The basis of the study was supported by the Theory of Buyer behaviour which breaks down how a consumer goes about the process of purchasing a product. The consumer decision theory was also included to inform the basis of how consumers make purchasing decisions. To understand the adoption behaviours for technology innovations the Diffusion of innovations theory was also included in the theoretical framework. Data was collected using one on one interviews with twenty participants from a South African insurance organisation as well as customers of life insurance products. Thematic analysis was applied to the data and the findings showed that the perceptions and attitudes of consumers towards life insurance are heavily influenced by the marketing activities of the insurance provider online. The findings also showed that consumer education is a big challenge for driving adoption of e-commerce channels for this product set. The digital transformation initiatives of the organisation were also found to be a contributing factor to providing superior customer experiences to customers online. The study makes practical and empirical contribution to the insurance industry body of knowledge in South Africa.
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    Critical factors that drive and influence consumer intentions to use m-commerce in retail stores in South Africa
    (2021) Raikane, Millicent
    With the growing popularity of smartphones, new opportunities in m-commerce are emerging, and these are facilitated by technological developments in internet access as well as easy access to mobile applications. However, even with these developments in technology, m-commerce adoption in South Africa is still slow. This study examined the factors that influence and/or inhibit South African consumers from adopting m-commerce, with a specific focus on the retail sector, by extending TAM. This study adopted a quantitative research methodology, and data was collected from 806 respondents through a web-based cross-sectional survey. Only 699 of the surveys were completed and therefore used for further analysis. The data was analysed by employing Factor Analysis, specifically, principal components analysis. Correlations analysis was used as an initial test of the hypotheses and thereafter, a multiple regression was run and used to accept or decline the hypotheses formally. The findings revealed that perceived usefulness, perceived ease of use, social norms, self-efficacy and trust positively and significantly affect consumers' intentions to adopt m-commerce. Perceived usefulness was found to be the most significant determinant for m-commerce adoption. Perceived risk was found to have no effect on South African consumers’ intentions to adopt m-commerce. Therefore, perceived usefulness, perceived ease of use, social norms, selfefficacy and trust are the critical factors required to drive m-commerce adoption. As retailers, marketers and developers begin to develop successful m-commerce strategies, it is important that they take into consideration these factors to ensure consumers adopt m-commerce, specifically focusing on perceived usefulness.
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    Critical factors that drive and influence consumer intentions to use m-commerce in retail stores in South Africa
    (2021) Raikane, Millicent
    With the growing popularity of smartphones, new opportunities in m-commerce are emerging, and these are facilitated by technological developments in internet access as well as easy access to mobile applications. However, even with these developments in technology, m-commerce adoption in South Africa is still slow. This study examined the factors that influence and/or inhibit South African consumers from adopting m-commerce, with a specific focus on the retail sector, by extending TAM. This study adopted a quantitative research methodology, and data was collected from 806 respondents through a web-based cross-sectional survey. Only 699 of the surveys were completed and therefore used for further analysis. The data was analysed by employing Factor Analysis, specifically, principal components analysis. Correlations analysis was used as an initial test of the hypotheses and thereafter, a multiple regression was run and used to accept or decline the hypotheses formally. The findings revealed that perceived usefulness, perceived ease of use, social norms, self-efficacy and trust positively and significantly affect consumers' intentions to adopt m-commerce. Perceived usefulness was found to be the most significant determinant for m-commerce adoption. Perceived risk was found to have no effect on South African consumers’ intentions to adopt m-commerce. Therefore, perceived usefulness, perceived ease of use, social norms, self-efficacy and trust are the critical factors required to drive m-commerce adoption. As retailers, marketers and developers begin to develop successful m-commerce strategies, it is important that they take into consideration these factors to ensure consumers adopt m-commerce, specifically focusing on perceived usefulness
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    Website features, lifestyle compatibility, online shopping attitudes and purchase intentions amongst South African consumers
    (2020) Cuna, Erica
    The rapid growth and adoption of the internet over the last two decades has led to the boom in online businesses, as well as to the internet being used as a way of communication and connectivity. The convenience and relative affordability of accessing the internet has created unprecedented opportunities for organisations to expand their offerings to a wider, global audience. The introduction of e-commerce has provided opportunity for many individuals and organisations to operate solely online. Online stores enjoy a lot of exposure amongst those people with access to the internet, while concurrently being exposed to many competitors too. Websites have evolved from complex coded networks that took weeks to create, to simplistic programs and templates that any individual can create in a matter of minutes. The relationship between websites, website design and online shopping, was examined in this research. The study looked at what were classified for the purposes of this study as systematic and behavioural factors associated with online shopping. The systematic factors are website system qualities and playfulness of the website, and behavioural factors are attitudes towards online shopping, lifestyle compatibility, order fulfilment and perceived usefulness of an e-commerce website. The study draws from the consumer behaviour framework, and focuses specifically on the influencing factors of website design on purchase intentions. It uses previous studies across developed and developing countries, which examined website features, customer satisfaction, and what motivates and influences consumers to purchase online. The methodology of the study employed a cross-sectional survey design, by means of a selfadministered questionnaire, distributed online. The questionnaire was adapted from previous studies, which dealt with online platforms. The results of the study prove that consumers in South Africa found the system quality of a website to be important, as well as playfulness, attitude towards shopping online, lifestyle compatibility, perceived usefulness and order fulfilment, all to be contributing factors affecting their online purchase intentions. However, playfulness in relation to perceived usefulness was not supported in the study, as well as lifestyle compatibility as a direct influencer of purchase intention. The study provides useful insights into the booming online shopping environments in South Africa specifically, regarding how the design and use of a website does in fact affect a consumers desire to purchase. It shows exactly which systematic and behavioural factors are important to consumers, and provides theoretical as well as practical recommendations to marketers and business owners on how to better prioritise their investment into websites, and how to improve their user journeys to encourage purchases.