1

CHAPTER 1

THE PROBLEM AND IT’S BACKGROUND

Introduction

Nowadays, online shopping has become the norm and consumers are adopting it
as it has many advantages. On consumer perspective, online shopping provides low and
transparent prices, a comprehensive assortment of goods and services and a much more
convenient shopping alternative that has eliminated such traditional shopping,
inconveniences of squeezing through crowds, stuck in long queues at the cashier counter,
battling for parking spaces at a busy mall.

Online shopping as defined by MasterCard Worldwide Insights (2008) is the

process of purchasing goods and services from merchants who sell over the internet.
Generally, it is also known as internet buying, electronic shopping, online purchasing or
internet shopping. Kim (2004) further defined internet shopping as examining, searching
for, browsing for or looking at a product to get more information with the possible
intention of purchase on the Internet. By looking at other perspectives, Chiu et al (2009)
considered online shopping as an exchange of time, effort and money for receiving
products or services.

Online shopping is a form of electronic commerce which allows consumers to

directly buy goods or services from a seller over the Internet using a web browser or
a mobile app. Consumers find a product of interest by visiting the website of the retailer
directly or by searching among alternative vendors using a shopping search engine,
which displays the same product's availability and pricing at different e-retailers. As of
2020, customers can shop online using a range of different computers and devices,
including desktop computers, laptops, tablet computers and smartphones.
 2

An online shop evokes the physical analogy of buying products or services at a

regular "bricks-and-mortar" retailer or shopping center; the process is called business to
consumer online shopping. When an online store is set up to enable businesses to buy
from another businesses, the process is called business-to-business online shopping. A
typical online store enables the customer to browse the firm's range of products and
services, view photos or images of the products, along with information about the product
specifications, features and prices.

The shopping scene in the Philippines was mostly retail-based in the past few
years as logistics and the internet continue to become one of the pain points of online
shopping in the country. It wasn’t until the pandemic happened, which forced the
government to go on strict lockdown a few months ago that online shopping has been
massively amplified.

Pre-pandemic, e-commerce giants such as Lazada and Shopee are becoming

more prominent in the market at a gradual pace. Despite the more relaxed situation then,
many Filipinos remained alienated from online shopping. It wasn’t until a few months
ago during the lockdown that online shopping has been amplified further and integrated
further into the lives of Filipinos. In fact, a report published by Facebook has found that
the e-commerce industry has been propelled further by the pandemic. From the looks of
how things are going, it seems like online shopping is here to stay, and it will grow even
bigger moving forward. If you’re planning to take part in this growing trend or you’re
already doing it, here is a quick guide on where you can shop online in the Philippines!

These are the online stores where you can buy everything you need or want
under the sun: lazada, shopee, beauty MNL, zalora, data blitz, carousell. pH, and ebay.
ph.

Lazada

A major e-commerce site not just in the Philippines but throughout the Southeast
Asian region. Lazada is also the pioneer shopping site that introduced the all-in-on online
shopping concept to the Philippines. While the concept has been around for ages in other
countries, Lazada was the game-changer in the Philippine e-commerce scene. Lazada is
kind of like the Amazon of Southeast Asia, it houses a vast range of categories and items,
 3

probably the largest in the Philippines. It’s one of the reasons why Lazada is among the
popular online shopping sites in the Philippines.

Shopee

This shopping portal giant in the Philippines has swept the country off its feet
with its silly but catchy jingles and very youthful promotional campaigns. Shopee is a
younger platform that has taken some cues from Lazada and there’s no denying their user
interface’s obvious similarity. At first glance, you might mistake the platform as Lazada
or vice versa, but upon closer look, many of its features buried deep within its
user-interface (UI) are different or even better than Lazada. For one, it’s more merchant
centric, allowing small businesses to onboard the platform.

Beauty MNL

A homegrown beauty and cosmetic products website in the Philippines which

started even way before the dawn of the e-commerce giants, Lazada and Zalora. This
website is founded by a Filipina who wants to create a beauty niche online suited for
Filipinas beauty. Other than a store, they also have their online magazine featuring beauty
tips tailored to the Filipino audience.

Zalora

This is one of the pioneer shopping websites in the Philippines when it comes to
apparel for men and women. They pride themselves as Asia’s Leading Online Fashion
Destination, and true enough they are in the Philippines. Zalora is a reliable shopping site
when it comes to clothing, fashion, and everything in between, boasting a wide range of
reputable brands on their website. Zalora isn’t exactly a shopping portal to go to if you’re
looking for cheap finds, but if you’re looking to level up your wardrobe, this is one of the
places to be.

Data blitz

A homegrown electronic and gaming store that made its way online from its
strong retail presence. It’s the go-to destination for all sorts of computer and gaming
needs, whether it’s for your laptop or computer, ps4, or cellphone, Data blitz comes with
a full range of products catering mostly for hobbyist and gamers such as action figures,
 4

gaming consoles, games, computer accessories, digital vouchers, and even computer
software.

Carousell. Ph

Formerly known as olx.ph, one of the earliest buy and sell websites in the
Philippines. This platform is not just a website, it’s also an app for easier shopping and
selling experience. If you’re looking for some second-hand items or if you’re looking to
sell your stuff yourself, this is one of the go-to platforms nowadays, not just in the
Philippines but in the entire Southeast Asian region.

eBay. Ph

The pioneer eCommerce platform on the internet. This online shopping site offers
both brand new and secondhand products, and when users sign up for an account they can
buy and sell products immediately.

History of online shopping

One of the earliest forms of trade conducted online was IBM's online transaction

processing (OLTP) developed in the 1960s and it allowed the processing of financial
transactions in real-time. The computerized ticket reservation system developed
for American Airlines called Semi-Automatic Business Research Environment (SABRE)
was one of its applications. Here, computer terminals located in different travel agencies
were linked to a large IBM mainframe computer, which processed transactions
simultaneously and coordinated them so that all travel agents had access to the same
information at the same time.

The emergence of online shopping as we know today developed with the

emergence of the Internet. Initially, this platform only functioned as an advertising tool
for companies, providing information about its products. It quickly moved on from this
simple utility to actual online shopping transaction due to the development of interactive
Web pages and secure transmissions.Specifically, the growth of the internet as a secure
shopping channel has developed since 1994, with the first sales of Sting album 'Ten
Summoner's Tales'. Wine, chocolates, and flowers soon followed and were among the
pioneering retail categories which fueled the growth of online shopping. Researchers
 5

found that having products that are appropriate for e-commerce was a key indicator of
Internet success. Many of these products did well as they are generic products which
shoppers did not need to touch and feel in order to buy. But also importantly, in the early
days, there were few shoppers online and they were from a narrow segment: affluent,
male. Online shopping has come a long way since these early days and -in the UK-
accounts for significant percentages (depending on product category as percentages can
vary).

Emotional stability is the capacity to maintain one's emotional balance under

stressful circumstances. It is the opposite of emotional instability and neuroticism.
Neuroticism is the tendency to experience unpleasant emotions easily, such as anxiety,
depression, calmness and happiness. Neuroticism also refers to the degree of emotional
stability and impulse control, and is sometimes referred to by its low pole Emotional
Stability.

Anxiety 

Many times, shopping relieves stress and anxiety, which can be useful for

several individuals. Studies have shown that there are clear benefits to retail therapy. For
example, a study conducted by Journal of Epidemiology and Community Health found
retail therapy in moderation to be beneficial, citing that regular shopping was connected
to longer life spans.

Depression

Online Shopping is a behavioral addiction that involves compulsive buying as a

way to feel good and avoid negative feelings, such as depression. Like other behavioral
addictions, online shopping can take over as a preoccupation that leads to problems in
other areas of your life. Usually beginning in one's late teens and early adulthood, online
shopping often occurs with other disorders, including mood, substance use disorders,
eating disorders, other impulse control disorders, and personality disorders. Some people
develop online shopping as a way to try and boost their self-esteem, although it doesn't
tend to be very effective for this.

Calmness
 6

When we're under stress, we react to online shopping differently. Just as we may
naturally crave sweets to lift our moods, and as we respond positively to other pleasures
in life, people tend to feel stronger impulses to buy themselves treats for a mood boost
when stressed. Online shopping seems to be a slippery slope for many, what can start out
as a relatively harmless mood booster could possibly grow into a compulsion that drains
finances, causes conflict, and ultimately adds significant amounts of stress.

Happiness

When a person feels happy they tend to spend money or shop online because they
are being carried away by their emotion. It gives them excitement, pleasure, and another
reason to be happy if they are satisfied.

Statement of the Problem

This study aims to describe the effects of online shopping to the emotional stability
of grade 12 students of CIT Colleges of Paniqui Foundation, Inc. It has a proposed plan
of action based on the findings of the study.

Specifically, this study sought to answer the following questions:

1. To what extent the following factors influence students consumer emotional

stability in shopping online in terms of:

1.1 Anxiety

1.2 Depression

1.3 Calmness

1.4 Happiness

2. What is the relation of Online Shopping to the emotional stability of the students?
3. What is the relative importance of each factor that affects the consumer from
shopping online?

Hypothesis
 7

This study is designed to assess the hypothesis that students who experience
emotional stability can lead to shopping online.

1: There is a significant relationship between Anxiety and the student consumer in

shopping online.

2: There is a significant relationship between Depression and the student consumer in

shopping online.

3: There is a significant relationship between Calmness and the student consumer in

shopping online.

4: There is a significant relationship between Happiness and the student consumer in

shopping online.

5: There is a significant relationship between online shopping and emotional stability.

Significance of the Study

The findings of this research will be considered beneficial and useful to the
following individuals:
To the School Administration. Will be provided research-based data which
would lead to the formulation of initiatives to know if students who experience emotional
stability can lead to shopping online. Consequently, both positive and negative emotional
stability do shopping online as retail therapy.
To the Teachers. Will gain insights from the findings of this study to give more
efforts on building the students’ on how they handle the emotional stability of their
students to not always do shopping online when they are experiencing emotional stability.
Greater awareness for the teachers will be drawn when the students are experiencing
emotional stability both positive and negative emotions.
To the Students. The most important recipient or beneficiaries of the results of
this study, will be the students to know their limitations and how to handle their emotions
to not always do shopping online.
To the Parents. Will be knowledgeable of their role in understanding the
emotional stability of the students and which may result in better parental guidance.
 8

To the Future Researchers. Will find this study a reference and might give
those useful ideas, important information and valuable data that might be useful for the
related study.

Scope and Delimitation of the Study

This study aimed to describe the effects of online shopping to the emotional
stability of the grade 12 students of CIT Colleges of Paniqui Foundation, Inc. during the
Academic Year 2020-2021. This study involved fifty (50) students distributed among the
five (5) tracks available in the institution.

It described the grade 12 students in terms of online shopping according to their

emotional stability such as anxiety, depression, calmness and happiness . It also described
the relation between online shopping and students' consumer emotional stability. A plan
of action to find the important factors affecting the students' consumers from shopping
online was proposed based on the findings of this study.

Definition of Terms

Anxiety. Many times, shopping relieves stress and anxiety, which can be useful for

several individuals. Studies have shown that there are clear benefits to retail therapy. For
example, a study conducted by Journal of Epidemiology and Community Health found
retail therapy in moderation to be beneficial, citing that regular shopping was connected
to longer life spans.

Beauty MNL. A homegrown beauty and cosmetic products website in the Philippines
which started even way before the dawn of the e-commerce giants, Lazada and Zalora.
This website is founded by a Filipina who wants to create a beauty niche online suited for
Filipinas beauty. Other than a store, they also have their online magazine featuring beauty
tips tailored to the Filipino audience.

Calmness. When we're under stress, we react to online shopping differently. Just as we
may naturally crave sweets to lift our moods, and as we respond positively to other
pleasures in life, people tend to feel stronger impulses to buy themselves treats for a
 9

mood boost when stressed. Online shopping seems to be a slippery slope for many, what
can start out as a relatively harmless mood booster could possibly grow into a compulsion
that drains finances, causes conflict, and ultimately adds significant amounts of stress.

Carousell. Ph. Formerly known as olx.ph, one of the earliest buy and sell websites in the
Philippines. This platform is not just a website, it’s also an app for easier shopping and
selling experience. If you’re looking for some second-hand items or if you’re looking to
sell your stuff yourself, this is one of the go-to platforms nowadays, not just in the
Philippines but in the entire Southeast Asian region.

Consumer. Consumers find a product of interest by visiting the website of the retailer

directly or by searching among alternative vendors using a shopping search engine,
which displays the same product's availability and pricing at different e-retailers.

Data blitz. A homegrown electronic and gaming store that made its way online from its
strong retail presence. It’s the go-to destination for all sorts of computer and gaming
needs, whether it’s for your laptop or computer, ps4, or cellphone, Data blitz comes with
a full range of products catering mostly for hobbyist and gamers such as action figures,
gaming consoles, games, computer accessories, digital vouchers, and even computer
software.

Depression. Online Shopping is a behavioral addiction that involves compulsive buying

as a way to feel good and avoid negative feelings, such as depression. Like other
behavioral addictions, online shopping can take over as a preoccupation that leads to
problems in other areas of your life. Usually beginning in one's late teens and early
adulthood, online shopping often occurs with other disorders, including mood, substance
use disorders, eating disorders, other impulse control disorders, and personality disorders.
Some people develop online shopping as a way to try and boost their self-esteem,
although it doesn't tend to be very effective for this.

eBay. Ph. The pioneer eCommerce platform on the internet. This online shopping site
offers both brand new and secondhand products, and when users sign up for an account
they can buy and sell products immediately.
 10

E Commerce. Such as Lazada and Shopee are becoming more prominent in the market at
a gradual pace. Despite the more relaxed situation then, many Filipinos remained
alienated from online shopping. It wasn’t until a few months ago during the lockdown
that online shopping has been amplified further and integrated further into the lives of
Filipinos. In fact, a report published by Facebook has found that the e-commerce industry
has been propelled further by the pandemic.

Emotional stability. The capacity to maintain one's emotional balance under stressful

circumstances. It is the opposite of emotional instability and neuroticism.

Happiness. When a person feels happy they tend to spend money or shop online because
they are being carried away by their emotion. It gives them excitement, pleasure, and
another reason to be happy if they are satisfied.

History of Online Shopping. One of the earliest forms of trade conducted online
was IBM's online transaction processing (OLTP) developed in the 1960s and it allowed
the processing of financial transactions in real-time. The computerized ticket reservation
system developed for American Airlines called Semi-Automatic Business Research
Environment (SABRE) was one of its applications.

Lazada. A major e-commerce site not just in the Philippines but throughout the Southeast
Asian region. Lazada is also the pioneer shopping site that introduced the all-in-on online
shopping concept to the Philippines. While the concept has been around for ages in other
countries, Lazada was the game-changer in the Philippine e-commerce scene. Lazada is
kind of like the Amazon of Southeast Asia, it houses a vast range of categories and items,
probably the largest in the Philippines. It’s one of the reasons why Lazada is among the
popular online shopping sites in the Philippines.

Neuroticism. Neuroticism is the tendency to experience unpleasant emotions easily, such

as anxiety, depression, calmness and happiness. Neuroticism also refers to the degree of
emotional stability and impulse control, and is sometimes referred to by its low pole
Emotional Stability.
 11

Online Shopping. A form of electronic commerce which allows consumers to directly

buy goods or services from a seller over the Internet using a web browser or a mobile
app.

Online Store. Where you can buy everything you need or want under the sun lazada,
shopee, beauty MNL, zalora, data blitz, carousell. pH, and ebay. ph.

Shopee. This shopping portal giant in the Philippines has swept the country off its feet
with its silly but catchy jingles and very youthful promotional campaigns. Shopee is a
younger platform that has taken some cues from Lazada and there’s no denying their user
interface’s obvious similarity. At first glance, you might mistake the platform as Lazada
or vice versa, but upon closer look, many of its features buried deep within its
user-interface (UI) are different or even better than Lazada. For one, it’s more merchant
centric, allowing small businesses to onboard the platform.

Zalora. This is one of the pioneer shopping websites in the Philippines when it comes to
apparel for men and women. They pride themselves as Asia’s Leading Online Fashion
Destination, and true enough they are in the Philippines. Zalora is a reliable shopping site
when it comes to clothing, fashion, and everything in between, boasting a wide range of
reputable brands on their website. Zalora isn’t exactly a shopping portal to go to if you’re
looking for cheap finds, but if you’re looking to level up your wardrobe, this is one of the
places to be.
12