Influencers to the Risk Associated With Online Shopping: Structure Equation Modeling Approach

Abstract

The recent years have witnessed the tremendous growth of e-commerce in developing countries; and India is no more an exception. Simultaneously, the responses from the customers have also suggested that e-commerce market in India aims to touch new high in upcoming years. However, industry as well academicians still struggle to ease up the experience of consumers who purchase the products/ services through e-commerce. This research attempted to understand the various risks associated with online purchase and build a model with the help of structure equation modelling in order to understand the relationship among the constructs. Moreover, the structural equation modelling also suggested the linkages between theory and practice with respect to several constructs like financial risk, social risk and physical risk. The results of the study would be helpful for practitioners for understanding and analysing the influencers affecting the perceived risk associated with online transactions.