Final CHEN JIE 6 JUNE

Master of Business Administration
Final Thesis
The effect of social media on consumer

purchase behavior in mobile telephone
industry in China
Name : Chen Jie

Student ID :
Supervisor :
Intake :
Year of Submission : 2022
Dissertation
The effect of social media on consumer

purchase behavior in mobile telephone
industry in China
By
CHEN JIE
Supervisor:XXXXX
Specialty: Xxxx
Research Area: Xxxxx Xxxxx Xxxx
Institute of International Education

New Era University College
April, 2022
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STUDENT’S ORIGINAL LITERARY WORK DECLARATION
Name of Candidate:
Name of Degree: Master of Business Administration
Title of Project Paper/Research Report/Dissertation/Thesis (“this Work”):
The Influence of Social Network on Online Purchasing Behavior of middle-aged women in China
Field of Study: Consumer behavior
I do solemnly and sincerely declare that:
(1)I am the sole author/writer of this Work; except for quotations and summaries which have been
duly acknowledged.
(2)This Work is original;
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of another degree.
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purposes and any excerpt or extract from, or reference to or reproduction of any copyright work has been
disclosed expressly and sufficiently and the title of the Work and its authorship have been acknowledged
in this Work;
(5)I do not have any actual knowledge nor do I ought reasonably to know that the making of this
work constitutes an infringement of any copyright work;
(6)I hereby assign all and every rights in the copyright to this Work to the New Era University
College (“NEUC”), who henceforth shall be owner of the copyright in this Work and that any
reproduction or use in any form or by any means whatsoever is prohibited without the written consent of
NEUC having been first had and obtained;
(7)I am fully aware that if in the course of making this Work I have infringed any copyright whether
intentionally or otherwise, I may be subject to legal action or any other action as may be determined by
NEUC.
Candidate’s Signature: Date:
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ABSTRACT
Within the context of the mobile telecommunications business in China, this study investigates
the relationship between social media platforms and the purchasing decisions made by end users
of these platforms. The study was motivated by a strong desire to transform the use of social
media into desired shopping behavior. The utilization of firm generated communication, user
created communication, word of mouth, and social media platform were the four factors that
were taken into consideration in this study of social media. According to the findings of the
study, customer intent to make a purchase is significantly influenced by consumers' use of social
media. It was observed that firm-generated content had an inverse relationship with buy
intention, whereas word-of-mouth marketing through social media was proven to be the primary
driver of consumer purchasing behavior. Communication on social media that was generated by
users was shown to have a relatively weak association with consumers' actual behavior of
making purchases, but an insignificant association was found to exist between social media
platforms and consumers' intentions of making purchases. The findings imply that social media
is a useful tool, but they also suggest that it needs to be modified in order to reduce the amount
of content generated that warps desired patterns of consumer behavior. Because of this, the
researchers advise running a social media campaign with extreme caution in order to generate
more desirable viral material.
Key words: social media, consumer behaviour, purchase intention, marketing
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ACKNOWLEDGEMENT
I would like to express my special thanks of gratitude to my supervisor as well as other
lecturers who presented me the opportunity and honor to do this impactful project on the topic
‘The effect of social media on consumer purchase behavior in mobile telephone industry in
China”, which helped me in doing a lot of researches and come to learn about many useful
things that will undoubtfully help me with future research. I am wholeheartedly appreciative to
them.
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Table of Contents
LIST OF FIGURES 9
CHAPTER ONE 10
INTRODUCTION 10
1.1. Background of the study 10
1.2. Problem Statement 13
1.3 Research Questions 16
1.4 Research Objectives 17
1.5 Significance of Study 17
CHAPTER TWO 19
LITERATURE REVIEW 19
2.0 Introduction 19
2.1. Review on both of independent variables and dependent variables 19
2.1.1. The Concept of social media 19
2.1.2. Consumer Purchase Intention 21
2.1.3. Conceptual Framework 24
2.1.4 Hypotheses 26
2.2. Theory or theoretical framework 29
2.2.1. Purchase Intention based on Theory of Planned Behavior 29
2.2.2. Purchase Intention based on Technology Acceptance Model 30
2.2.3. Purchase Intention based on Consumer Attitudes 31
2.2.4 Social Media Influencing Purchasing Intention 32
2.3. Key Variables 34
2.3.1. Purchase Intention based on Perceived Value 34
2.4. Summary of Literature Review 35
CHAPTER THREE 37
RESEARCH METHODOLOGY 37
3.0 Introduction 37
3.1. Philosophical Position 37
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3.2. Research design 38
3.2.1. Quantitative 38
3.3. Sampling and Data Collection 39
3.4. Method for Data Analysis 40
CHAPTER FOUR 42
FINDINGS AND ANALYSIS 42
4.1. Introduction 42
4.2. Data Cleaning 42
4.3. Respondents Profile 42
4.3.1. Gender 42
4.3.2. Age 43
4.3.3. Education 44
4.3.4. Occupation 45
4.3.5. Income 46
4.3.6. Choice of Social Media Platforms 46
4.4. Reliability Analysis 47
4.5. Hypothesis Testing 49
4.5.1. Summary of Hypothesis Test 52
4.5.2. Interpretation of Hypotheses 52
4.6. Conclusion 54
CHAPTER 5 55
5.1. Conclusion 55
5.1.1. Social networking sites sociability, value perception, honesty, and risk perception connection
56
5.1.2. Connections between social networking sites sociability and risk perception 56
5.1.3. Social media value and the risk connection 57
5.1.4. The connection among perceived value, risk, speed and trust: 57
5.2. Limitation of the study 58
5.2.1. The collection of data and sample: 58
5.2.2. Theoretical and literary application 58
5.2.3. Outcome’s application in real 59
5.3. Recommendation 59
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5.3.1. Impacts in Management 59
5.3.2. Choosing social media platforms with high sociability and creating: 60
5.3.3. Choosing social media platforms with high sociability and creating: Choosing social media
platforms on which people heavily relied and creating user dependency on your brand: 63
5.3.4. Being open and fast (arguable): 66
5.4 Recommendations for Future Research 68
References 70
Appendix 76
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LIST OF FIGURES
Figure-1: CONCEPTUAL FRAMEWORK…………………………………………..20
Figure-2: Age data analysis……………………………………………………….…..45
Figure-3: Education data analysis…………………………………………………….46
Figure-4: Education data analysis…………………………………………………….48
Figure 5: Current city living data analysis…………………………………………….50
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CHAPTER ONE
INTRODUCTION
1.1. Background of the study

In our everyday lives, the fast advancement of technology has impacted every element,
including our consumption patterns and purchasing choices. Social media's rapid growth in
popularity, along with the widespread use of smartphones in China, has resulted in a significant
shift in the manner which consumers interact and obtain information (Zhang, Daim and Zhang,
2021). Consumers rely heavily on social media as their major source of information. Social
media is a generic phrase that refers to the use of web based as well as telecommunication
technologies to facilitate dynamic, direct interaction or conversation among individuals.
With the maturing of online transaction systems and the growth of logistic services, the e-
commerce industry is becoming stronger and more accessible to customers, and it is also
emerging as one of the primary factors driving the development of China's economic system
(Zhang, Daim and Zhang, 2021; Yang, Tang, Men and Zheng, 2021). The majority of
conventional businesses are now keen to extend their territory into the internet market since they
recognize that doing so is not just a current trend, but also a competitive requirement in today's
world. As businesses transition from the offline to the internet world, they must create new
marketing tactics in order to effectively sell their goods and services. With the rising popularity
of social media, many businesses have begun to rely on social media platforms for their online
marketing efforts (Yang, Tang, Men and Zheng, 2021).
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According to the CNNIC Online Shopping Report 2014, social media is a solution to the
issue of an imbalance between supply and demand. As the online shopping industry in China
continues to expand at a fast pace, an increasing number of merchants and sellers are flocking to
e-commerce platforms in order to get a piece of the action. However, the increase in the number
of online purchasers is not keeping up with the increase in the number of vendors (Yang, Tang,
Men and Zheng, 2021). As a result, social media platforms have emerged as the most effective
and economical means of attracting new clients and exploiting new sources. As previously said,
according to the CNNIC Online Shopping Report 2014, numerous elements of social media
influence consumers' purchase motive, and social media shopping has evolved into a new
consuming pattern on the internet. The process of buying via social media is divided into two
stages: 1) Obtaining product knowledge via social media platforms and sharing it with others 2
Making a purchasing decision or establishing a purchase intention.
According to the CNNIC Social Media User Report 2014, however, the likelihood that
internet customers would discuss their purchase and using experiences on social media is quite
low. A mere 1.7 percent of buyers typically discuss their post-purchase experience with other
people. 18.6 percent of internet users seldom share their experiences on social media, while over
80 percent of online users never disclose their buying information. This might imply that firms
are providing more product knowledge than individual customers, rather than the other way
around. If businesses can figure out a method to encourage online customers to participate in
discussions and to share their user experiences, they will be able to generate more sales and
profits (Yang, Tang, Men and Zheng, 2021). When compared to conventional marketing
methods, marketing via social media platforms offers a number of distinct benefits over the
former.
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First and foremost, connections made on social media platforms are mostly based on real-
world networks that have already been formed (Rojsurakitti, 2015). That is, unlike other online
platforms, marketing via social media platforms may be more successful since individuals on
social media networks have certain trusts built in before, regardless of how strong or weak their
relationships are to the brand or company in question for the second time, social media is built on
web 2.0 technology, which allows for rapid dissemination of information. In addition, since
social media fosters connection and discourse, it is possible to have two-way communication on
social media platforms (Rojsurakitti, 2015). User-generated content (UGC) is the most important
aspect of social media that anybody may use. facilitates the proper operation of this two-way
communication Last but not least, and perhaps most importantly, most social media networks are
free to use and simple to get started with for businesses of all sizes. If firms sincerely respect the
advantages of utilizing social media for marketing and understand the demands of their
customers, it seems that all businesses should spend significant resources to social media
marketing and fully utilize the benefits it provides (Rojsurakitti, 2015; Yang, Tang, Men and
Zheng, 2021; Zhang, Daim and Zhang, 2021).
However, many Chinese businesses are experiencing difficulties and issues as a result of
social media, despite the fact that some businesses may be unaware of these difficulties and
obstacles. According to Forrester Research, social media in China is still in its early stages
(Yang, Tang, Men and Zheng, 2021). Specifically, organizations face four challenges: a lack of a
defined social marketing strategy, a lack of an effective assessment system for the results of
social media marketing, a scarcity of social media marketing team members, and a lack of
assistance from professional companies. McKinsey also brought out issues that are comparable
to those encountered by corporations in China (Yang, Tang, Men and Zheng, 2021). One of the
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most significant issues facing senior management is that they are unfamiliar with social media
and do not understand how to extract consumer insights from the vast amounts of data provided
by social media. Second, firms do not have the resources and ability to put social media
strategies into reality and to make them realistic and actionable (Yang, Tang, Men and Zheng,
2021). Third, senior management is unable to incorporate fundamental values, product features,
and company cultures into social media marketing strategies (Noreen and Han, 2015). There are
a number of misconceptions about social media marketing, in addition to the difficulties outlined
above. For example, many businesses feel that a big number of followers and postings on social
media sites are evidence of a successful social media strategy. This is a common misperception
that may lead to businesses focusing only on the quantity aspects of social media, rather than the
quality aspects of the medium (Noreen and Han, 2015). In reality, accumulating a large number
of followers on social media is not difficult; however, accumulating followers who are active
participants and true influencers is more challenging. True followers, as opposed to passive
consumers of content from firms, will often be the source of high-quality discussion and have a
significant influence among their social media connections (Noreen and Han, 2015).
1.2. Problem Statement

As a platform for individuals to engage and communicate with one another, social media
has grown more important, and it has a substantial influence on consumer purchasing patterns
and decision-making (Cheung & Lee, 2010). Furthermore, the way in which firms and their
customers engage has evolved. As a result of the proliferation of networking sites, data
availability has migrated away from corporations and toward consumers (Koufaris et al., 2002).
Based on this development, customers may be able to utilize good or negative information
distributed on social media to determine the quality of a company's products or services, and
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thereby influence their purchasing choices. The effect of social media on consumer behavior may
be classified into three areas, according to Heinonen, (2011): Initial considerations are that good
communication, negative communication and social media opinion leaders are all actions that
have an impact on consumption. Second, consumer behaviors are impacted by others, including
the search for product information and the search for other people's views on a particular
product. Third, customers utilize social media as a means of communicating with one another
about their post-purchase experiences. One more communication and society-related hypothesis
may be able to assist us in better understanding the influence of social media's broad usage on
consumer purchase choices (Heinonen, 2011).
This position implies that social media is no longer merely a tool for businesses but is
also a tool for individuals to express their desire to buy any product. Specially when it come to
mobile phones, customers are looking for approval from other users where social media is the
way of communication from existing user to future user. It is progressively altering the way
people live their lives and has implications for a wide range of sectors. In the year 2013,
marketing was the primary emphasis of social media. A large number of online platforms and
apps have integrated social media functionalities, either via collaboration with social media
businesses or through the development of their own products (Heinonen, 2011). According to the
CNNIC social media user report 2014, social media has a greater effect on news and mobile
gaming than it does on traditional online purchasing. More than 95 percent of internet users get
their news via social media platforms, and 48.7 percent of users play mobile games through
social media platforms, according to a survey of 2518 respondents. Current internet users, on the
other hand, have a low likelihood of making a purchase using social media sites. Only 20.3
percent of online shoppers will discuss their shopping experience with others, and only 28.2
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percent would suggest items to others. Finally, the growth of social media in China is still at a
very early stage of development. Individual and commercial users are both enthused by and have
confidence in it to a great extent. However, from the standpoint of the customer, Chinese social
media users are less eager to engage in commercial activities and to pay for services than their
counterparts in other countries (Noreen and Han, 2015). In contrast to social media users in
Western nations, Chinese social media users are more information receivers than information
creators. Company-wise, Chinese businesses are enthusiastic about using social media for
marketing purposes, but the main problem is that they do not fully grasp the nature of social
media, as well as the psychology and behavior of social media users (Noreen and Han, 2015).
Over the next five years, revenue for the Mobile Phone Manufacturing sector in China is
predicted to grow at an annualized rate of 2.6 percent, according to industry forecasts (Heinonen,
2011). Although the sector grew rapidly from 2013 to 2015 as a result of the widespread use of
4G mobile phones, revenue growth has slowed significantly since 2016 as the 4G mobile phone
market has reached saturation (Heinonen, 2011). The production of handsets and the shipping of
mobile phones both decreased in 2017 compared to 2016. However, it is estimated that 5G
mobile phones would improve sales volumes, resulting in a 6.5 percent gain in revenue in 2021,
according to forecast.
The purpose of this research is to better understand and gain insights about consumer
mobile phone purchasing behavior in China, particularly in the setting of social media. The
impetus for the study is derived from two different views. From a theoretical standpoint, there
are a plethora of research articles available on online consumer behavior (Fondevila-Gascón,
Polo-López, Rom-Rodríguez and Mir-Bernal, 2020). Most of the time, these investigations are
backed by hypotheses derived from classic consumer behavior research studies. Expectation-
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Confirmation Theory (ECT), Technology Acceptance Model (TAM), Theory of Reasoned
Action (TRA), Innovation Diffusion Theory (IDT) and Theory of Planned Behavior (TRA) were
found to be the most frequently applied theories in a review of 355 papers on online consumer
behavior conducted by Chu and Chen, (2019). Although there is a wealth of literature on the
effect of social media on consumer purchasing behavior, there are even less empirical research
on the influence of social media on consumer mobile phone purchasing behavior. Furthermore,
the contemporary literature on social media is more concerned with practical application and
implementation than it is with theories and models that are valuable for academic investigation.
1.3 Research Questions
The study background section described how social media in China has only just begun, and
how most firms lack expertise in installing and maintaining social media platforms to influence
the purchase of mobile phone. This is especially true from the standpoint of practical application.
To put it simply, they are unfamiliar with the qualities of social media and the people that use it.
Because it is being conducted from the viewpoint of consumers, this research may give some
useful insights for managers and practitioners. Two broad research questions are constructed in
accordance with the study objectives and reasons, as follows:
1. What is the relationship between sociability, perceived risk, perceived value, trust and
purchase intention of mobile telephony industry in China?
2. What is the relationship between usability, perceived risk, perceived value, trust and
3. What is the relationship between dependance, perceived risk, perceived value, trust and
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4. What is the relationship between involvement, perceived risk, perceived value, trust and
1.4 Research Objectives
Furthermore, the following are some of the specific aims of this investigation:
1. To investigate the relationship between sociability, perceived risk, perceived value, trust
and purchase intention of mobile telephony industry in China.
2. To investigate the relationship between usability, perceived risk, perceived value, trust
3. To investigate the relationship between dependance perceived risk, perceived value, trust
4. To investigate the relationship between involvement, perceived risk, perceived value,
trust and purchase intention of mobile telephony industry in China.
1.5 Significance of Study
It was shown that customers' sentiments about a brand were influenced by polarity (positively or
negatively remarks) and recognition (high vs. low) via social media marketing, both of which
have a theoretical foundation in expectancy theory (Yang, Tang, Men and Zheng, 2021). It is
hoped that the findings would help Chinese telephony firms to improve current social media
advertising in China to get better results. For firms looking to extend their reach outside of
China, analyzing Chinese customers' opinions of the mobile brands on Chinese digital media is
essential. Finding the best technique to promote items to Chinese customers would also be useful
to other foreign businesses since China is the biggest global consumer market (Yang, Tang, Men
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and Zheng, 2021). An important first step in this path is learning the most effective way to
convince Chinese customers. Marketers as well as advertisers may learn from these findings on
the best practices for online marketing engagement. This study's goal is to assist both Chinese
and non-Chinese businesses better understand Chinese customers and firm’s social media
campaigns regarding promoting mobile phone.
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CHAPTER TWO
LITERATURE REVIEW
2.0 Introduction
The second chapter of this research would focus on the review of literatures for the
independent and dependent variables involved in this research, the theories involved and the
proposed conceptual framework.
2.1. Review on both of independent variables and dependent variables
2.1.1. The Concept of social media
Users may engage in social networking via the creation and sharing of content on social
media platforms, as defined by Meslat (2018). Social media is defined as the use of internet-
based method of communication that enables individuals to engage in the advertising, retailing,
evaluating, rating and purchasing of goods and services including both physical and online
markets and communities as mentioned by Zhou and Zimmermann (2013). As a further
explanation, Alnsour et al. (2018) make it clear that social media employs a variety of platforms.
Social media sites like Facebook, Instagram, Snapchat, and YouTube are examples of this kind
of networking. Nevertheless, it also incorporates blogs, emails, chats, and online forums
indicated by Alnsour et al., (2018). Online ties between the company and its customers may be
strengthened via the use of innovative social media platforms (Ramsunder, 2011). With the
advent of social media, businesses now have the ability to build meaningful two-
way relationships with their customers. The natural yet general dialogues between individuals
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over a subject of mutual interest, as according Ndurura (2020), increase the establishment and
maintenance of relationships via social media. Accordingly, Yin et al. (2019) revealed that social
media seems to be about information exchange and decision-making. Many different social
media platforms are involved in social media are constantly evolving (Ramsunder, 2011). It is a
collaborative process in which the audience participates in the creation of new material or
dialogues in real time. Social media gives customers more control over their purchasing
decisions, according to Diebes and Iriqat (2019), who were writing on a similar topic. As a
result, social media users may have a significant impact on the purchasing decisions of others,
both on and off the internet. More than 1.5 billion individuals throughout the globe use social
networking platforms, according to Putter (2017). That's roughly one in four people globally.
Over the last several years, social media use has increased. In addition, GlobeStat
(2020) report that social media use is expected to expand by 7% yearly. Social media users were
mostly young individuals and children, with aged making up a small percentage of the total
population (Putter, 2017). Lilima (2020) did find an intriguing correlation between the use of
social media and becoming older. According to Lilima (2020), despite the fact that social media
users between the ages of 20 and 30 were more likely to join, the rate of new users among the
older members of society was higher (aged between 40 and 50 years). Ricardialiono (2020)
examined the relationship between age and social media use and came to the conclusion that
there are substantial variances between age groups and that each age group has a different
proclivity to use social media. How individuals of both sexes connect to social media is another
intriguing facet of the medium's user base. There are a lot of conflicting results in the literature
on this topic. Social media use by men and women is not significantly different, according to
research by Maoyan et al. Schivinski and Dabrowski (2018) came to the same conclusion when
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they discovered that social media use among men and women was the same. Although men were
shown to be more engaged on social media, Eqwubo (2020) discovered that women were. Nikita
agreed to the same idea in Africa as well (2017).
Social media has several meanings also known as Web 2.0. The Cambridge Business
English Dictionary defines social media marketing as promoting items, services, or brands online
by attracting groups of people who debate them, provide comments, etc. Social media is a
category of Web 2.0-based programs that enable user-generated content production and sharing.
Social media are computer-mediated methods for sharing information, ideas, and photographs in
virtual groups and networks. Millions of people utilize social networking platforms in their
everyday lives and businesses. Social media enable users to interact with peers by connecting
them to friend networks and facilitating dialogue. Internet socializing is affecting consumer
behaviour as a consequence. Social media facilitates education and knowledge since friends and
peers function as socialization agents and supply product information and reviews rapidly. Social
networking is changing how global customers shop. More and more customers across the globe
are using social media to gather information about other people's experiences, get more
information about companies and goods as well as to locate offers and buy incentives; Nearly
half of Chinese consumers use social media to directly communicate with businesses and service
providers to express their satisfaction or concerns or just to ask inquiries.
2.1.2. Consumer Purchase Intention
Purchase intent is the willingness of consumers to purchase a particular product as well as
service (Yoong and Lian, 2019). Buying intent is a useful predictor of how customers will
actually purchase something. If a consumer intends to make a purchase, this indicates the
anticipated outcome of their actions (Lilima, 2020). Consumer perception and taste have a direct
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impact on what is considered to be "purchase intention," which is defined by Alnsour et al.
(2018) as the likelihood that a customer would purchase a product or service in the future.
According to Alnsour et al. (2018), customer purchase intention indicates that someone will buy
the product the next time a need for it arises, and there is a desire to acquire the product. By
Fishbein and Ajzen (1975) and Ajzen (1985), an individual's behavior may be forecasted by his
or her desire to carry it out. This theory is supported by Venkatesh and colleagues (2003; see also
Venkatesh and colleagues (2003)). As Ogut (2016) discovered after conducting an extensive
literature assessment of 450 papers, there is a clear linear correlation between behavioral
intention and use behavior. Some researchers employed purchasing intention as a stand-alone
factor (Campbell et al., 2011; Eqwubo, 2020). The reason for this is that consumers' purchasing
intentions may accurately anticipate their actual actions (Eqwubo, 2020).
The strength of the antecedents influences the strength of the purchase intention. An rise
in market share may be expected when customers have a good attitude toward the service
provider and are more likely to buy from them in the future. On the other hand, customers with
unfavorable purchase intentions are more likely to switch brands, avoid making purchases from
service providers, and spread bad word about them (Zeithalm, 1996). In other words,
Parasuraman et al. (1996) stated that an organization's success is highly dependent on its capacity
to foster consumers' good and advantageous purchasing intents. Consumer Purchase Intention
and Social Media Many new business as well as marketing activities have emerged as a result of
the widespread use of social media. To put it another way, social media has transformed the
fundamentals of consumer behavior by speeding up the process of purchasing goods and
services. Customers go through a series of phases as they make their way through the purchase
process. These are the steps involved in identifying a need, doing research, comparing available
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options, and making a purchase. The chronological process of buyers has been decreased as a
result of social media marketing, according to Permatasari and Kuswadi (2018), since consumers
may bypass other phases and form an intention to buy that is more likely to result in purchasing
behavior. Consumers now have access to more information because to social media. Consumers'
ability to find relevant information during the second stage of the purchasing process has
improved. Knowledge on a product may be found in a variety of formats on social media,
including plain text, hypertext, and downloaded magazines but also brochures (Bruno and
Dariusz, 2013).
Access to knowledge has never been easier because to social media platforms like
Facebook and Twitter. Social media marketing of products and services has no geographical
borders. According to Kulimula (2020), a wide range of people from various backgrounds may
access the company's marketing message via social media. By making it easier for consumers to
learn about a product, this boosts their desire to buy it (Never, 2019). Since a result of this,
according to Never (2019), customers are more likely to make purchases when information is
easily accessible, as this minimizes all sorts of search costs on their behalf. The capacity of
online networks to provide two-way contact here between user as well as the company is perhaps
the most basic unique feature of social media that drives customer buying behavior (Lilima,
2020).
Social media is focused on Web 2.0 and enables users to share information by posting,
reviewing, rating, and like things. This information primarily serves as a type of feedback to the
company, but it has a greater influence on other social media users. According to Yoong and
Lian (2019), customers find user-generated material more attractive than company-generated
content. Consequently, customers are encouraged to purchase via social networks because of the
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motives produced by other customers through a dual mode of communication. Nikita (2019)
posited the similar idea, namely that user-generated content (UGC) is associated with more
favorable customer behavior. On social networks, consumers' purchase intentions are also
influenced by the collective impact (Yoong and Lian, 2019). Peer-to-peer and group shopping on
social media platforms is akin to a bunch of friends running errands together in a physical
location. Through normative influence and social comparison effects, social media has a direct
impact on consumers' purchasing intentions. Purchasing what other people are buying is a
natural instinct for customers since they feel a sense of belonging. Yoong and Lian (2019)
identified a statically meaningful link between digital media group purchases and consumers'
psychological intentions to purchase.
Country image has been researched from tourist, international marketing, and
international relations viewpoints. Image is a multifaceted notion that includes a person's opinion
of a location. Kotler, Haider, and Reiner (1993) define nation image as the totality of people's
beliefs and perceptions. Individuals may learn about a location via organized communication
activities, movies, news, or word of mouth. Delineating a nation's pictures requires drawing from
several disciplines and comparing various parts of this image. Understanding the impacts of the
country's image is vital for international corporate marketing strategies because it affects
customers' attitudes about items created or associated with that country and consequent purchase
intentions.
2.1.3. Conceptual Framework
The bulk of research on social networks focused more on social networks than on how to
comprehend the influence of social media, according to a cross-section of certain studies
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(Ricardialiono, 2020). The lack of social media criteria that are generally approved makes this
quite evident.
Sociability:
Community
Connectedness
Usability:
Perceived
Openness
Risk
Accessibility
Perceived Purchase Intention
Speed Value
Trust
Dependance
Involvement:
Participation
Conversation
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Figure-1: CONCEPTUAL FRAMEWORK
Some researchers believe that social networking is merely a two-way street between the
company with the user, while others believe that digital networks is a consequence of the
perceived media knowledge, dedication, orientation, and applications (Poturak and Softi,
2019; Kosarizadeh and Hamdi, 2015). Some scholars see social media as everything that
originates from a social channel, which triggered a wide range of discussion (Likula, 2020).
Social media comprehension is never complete without the addition of the social networking
platform's efficacy, according to experts like Gizlan and Mertucalis (2020). Numerous social
media sites, such as Facebook & Twitter, are more appealing to specific types of clients,
according to Gizlan and Mertucalis (2020). A detailed understanding of the impact of social
media must thus investigate the specific sort of social media that generates user intention. On the
basis of the Theory of Planned Behaviour (TPB), the research of consumer buying behavior
(Fishbein and Ajzen, 1975). The idea being that customers must first establish a desire to buy
before they can really make a purchase. As a result, customer purchase intent is a good indicator
of actual buying behavior. Taking all of this into consideration, the study's goal is to look at the
impact of social media as a whole. Therefore, Poturak and Softic's (2019) model of social media
was taken and altered. The model proposed by Poturak and Softic (2019) comprises two
determinants of social media: user-generated content and company-created content. However,
two more factors were included in the planned investigation. Gizlan and Mertucalis influenced
the incorporation of the two factors (2020).
2.1.4 Hypotheses
The research hypotheses of this study are:
26
Aspects Hypotheses
Social Media Sociability H1: Social media community negatively influences consumer
perceived risk.
H2: Social media community positively influences consumer
perceived value.
H3: Social media community positively influences consumer’s trust
in social media.
H4: Social media connectedness negatively influences consumer
perceived risk.
H5: Social media connectedness positively influences consumer
perceived value.
H6: Social media connectedness positively influences consumer’s
trust in social media.
Social Media Usability H7: Social media openness negatively influences consumer
perceived risk.
H8: Social media openness positively influences consumer
perceived value.
H9: Social media openness positively influences consumer’s trust
in social media.
H10: Social media accessibility negatively influences consumer
27
perceived risk.
H11: Social media accessibility positively influences consumer
perceived value.
H12: Social media accessibility positively influences consumer’s
H13: The speed of social media negatively influences consumer
perceived risk.
H14: The speed of social media positively influences consumer
perceived value.
H15: The speed of social media positively influences consumer’s
Social Media H16: Consumer’s dependence on social media negatively
Dependance influences consumer perceived risk. H17: Consumer’s dependence
on social media positively influences consumer perceived value.
H18: Consumer’s dependence on social media positively influences
consumer’s trust in social media.
Social Media H19: Consumer’s participation in social media negatively
Involvement influences consumer perceived risk.
H20: Consumer’s participation in social media positively
28
influences consumer perceived value.
H21: Consumer’s participation in social media positively
influences consumer’s trust in social media.
H22: Consumer’s conversation on social media negatively
influences consumer perceived risk.
H23: Consumer’s conversation on social media positively
influences consumer perceived value.
H24: Consumer’s conversation on social media positively
influences consumer’s trust in social media.
2.2. Theory or theoretical framework
2.2.1. Purchase Intention based on Theory of Planned Behavior
In 1991, Icek Ajzen created the theory of planned behavior, which aims to understand
and forecast the rational consumption of customers. The model is divided into three parts. First
and foremost, an individual's conduct is impacted by his or her own behavioral aim. Specific
behaviour intention is also impacted by the individual’s thoughts toward the conduct, facilitating
conditions, and perceived control over their actions. Third, depending on the scenario, external
elements such as social and environmental factors might alter the previously stated three
components. Modeling customer perceptions and behavior has laid the groundwork for future
research.
29
The TPB adds perceived behavioural control to the TRA paradigm (PBC). This element
is needed since the basic model can't anticipate behaviors that aren't totally voluntary (Ajzen,
1991). The TPB model bases a person's decision-making on a reasonable appraisal of his/her
behavior's consequences. The intention to execute a behavior is the most immediate antecedent
of related behavior (Liu et al., 2012). It's TPB's key element. In the TPB model, attitude toward
the behavior, subjective norms about the behavior, and PBC about the behavior's performance
define behavioural intention. Scholars utilize the TPB model to explain diverse behaviors and
say the three factors account for 40%–50% of the variation in predicting behavioral intention.
The three components also predict pro-social and environmentally-friendly behaviours, such as
desire for organic food, green products (Mo et al., 2018), and attending environmentally-friendly
eateries (Jang et al., 2014). First, attitude relates to views about the consequences of behavior
and their relevance (Ajzen, 1991). If a person thinks a specific behavior will have a favorable
effect, he or she will like it, and vice versa. Subjective norms are the responses of important
reference groups (e.g., family and friends) to a particular behavior and whether an individual will
consider these responses when deciding to perform the behavior (Ajzen, 1991). Some experts say
subjective standards are the TPB model's worst predictor of behavioral intentions. After mindset
and PBC, some say this component has no direct influence on intents implying that
environmentally friendly behavior is self- and social-interested. The norm-activation paradigm
(Schwartz, 1977) considers obligation norms a key motivator of pro-social behavior. Some
experts say moral values influence green behavior intentions. This research proposes moral
values as a direct predictor of green purchase intentions.
30
2.2.2. Purchase Intention based on Technology Acceptance Model
Davis et al. established the technology acceptance model (1989). The model allows to
analyze from the standpoint of the consumer's adoption of new technological advances.
Performance expectancy and simplicity of use are two of the major elements that influence
people's behavior. When it comes to utilizing a specific system, performance expectancy
corresponds to the extent to which an individual feels that using it would improve their job
efficiency, and user satisfaction refers to the extent to which using it would be a simple task
(Davis, 1993). Additionally, the model indicate that perceived effectiveness and the user
satisfaction are both influenced by external influences. As the theoretical framework's
foundation, Sin et al (2012) used the model of technology acceptance to discover that the greater
the number of Malaysian young consumers who perceive online social media to be beneficial,
the greater the likelihood that they would have the intention to buy via social media platforms.
Young customers, on the other hand, are more likely to use social media to purchase
products if the delivery and purchasing procedure is clear and straightforward. As part of their
investigation on the behavioral intentions of Greek consumers who plan to make purchases via a
B2C e-commerce platform, Maditinos and Sarigiannidis (2007) used the model of technology
acceptance and added an extra concept of perceived risk. An individual's willingness and
willingness to transact with the hattB2C electronic commerce system is positively associated
with their perceptions of the system's usability, utility and hazards. They used the same
theoretical framework as Phatthana and Mat (2011) but included an extra construct image in
forecasting purchase intention in the healthcare tourism business. The findings, as usual, show
that overseas patients' e-purchasing purpose in ecotourism is favorably and substantially linked
to the perceived efficiency of use and effectiveness of healthcare professionals. As a result of the
31
empirical literature study and comparison with other literature that has adopted the TAM model,
the findings revealed that the technology acceptance model is both resilient and flexible, and that
it has the benefit of being highly adaptable and extensible. The difference between buying
intention of young, elderly, middle aged customers are different because of their desire and
perception. As young people wants more applications to run in the mobile phone so that they can
be updated all time. But on the other hand, Elder customers are satisfied only if they get a phone
to cover their important messages and to ge6t necessary information as early as possible.
2.2.3. Purchase Intention based on Consumer Attitudes
Consumer perceptions are made up of a person's beliefs, emotions, and plans for action.
Each of the three elements is intertwined and reflects the way in which customers respond to a
product as well as brand. According to Kim and Littrell, using the Fishbein model, they assessed
visitors' sentiments and established that tourists' views about the destination culture impact their
buy intentions for mementos (Kim & Mary, 1999). Studying consumer attitudes regarding
various enzyme manufacturing techniques, Sndergaard,Grunert, and Scholderer(2005) found that
the creation of customer perception is more commonly a top-down strategy. When it comes to
food purchases, people have an overall impression of the product. In order to have more positive
buying intentions, these mindsets must be in a more favorable state. A study by Indonesian
researchers Hidayat and Diwasasri (2013) indicated that consumers' perceptions regarding
counterfeit handbags directly impact their willingness to acquire counterfeit goods. Furthermore,
buyers' views about acquiring counterfeit goods are unaffected by their increased standing as
consumers. Perceptions are formed at the pre-conceptual phase of the process of decision
making, and this will have a substantial impact on customers' purchase intentions.
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2.2.4 Social Media Influencing Purchasing Intention
Over the past few years, purchase through digital network has witnessed enormous
growth in China. If you've ever heard of Alibaba, Weibo, or WeChat, you've almost certainly
heard of the massive e-commerce retailing and social media channels that these companies
operate on. The public's attention has been heightened by the platforms' expanding popularity, as
well as by their successes. The course of this time period has seen two important shifts in
perspective. According to a recent study, most individuals are increasingly utilizing their
smartphones and tablets to go online. A considerable number of them are in control of a
company number of social media accounts. Another trend is the increasing usage of smart
phones by customers to conduct their buying activities online. The number of mobile phone
users in China reached more than 1.3 billion in 2015, and this figure is anticipated to grow in the
future, with 29.6 percent of them using 4G technology. Weibo and WeChat, two of China's most
popular social media sites, are the most frequently utilized in the globe. In terms of monthly
active users, the two networks have 390 million and 818 million, respectively.
However, although it is hard to express the whole breadth of the issue in a single article,
it is worthwhile to emphasize the start of the campaign. Social networking has evolved into a
necessary part of daily life for many people. It no longer falls under the category of "new media."
Consumers overwhelmingly prefer to purchase through their mobile devices. Marketers and
communicators must incorporate social media as well as e-commerce into their strategies in
order to help businesses prosper. More than simply a place to keep in touch with pals, social
media can be used in a variety of ways. As a consequence, social media is experiencing a
significant transformation in terms of its role. With the integration of payment systems, WeChat
and Weibo users can now order products more conveniently. This experience has shown us that
33
the best way to merge social media interactions with e-commerce sites is to establish the perfect
method, which in turn creates quality leads plus transactions.
Social networking is a valuable tool for individuals in today's world. The vast majority of
individuals obtain the majority of their news and even employment chances from social media.
Facebook & Twitter are two of the most popular social media networks, and they would almost
certainly be emphasized. It's undeniable that Facebook plays an important part in the majority of
human lives. More than 1 million individuals have a Facebook account, with half of them
logging in at least once a day and spending more than twenty minutes per day on the social
networking site. Many people turn to Facebook for info and breaking news stories. Another
social media network, Twitter, allows them to not only follow celebrities, but also get relevant
news from their supporters. A number of individuals and organizations, including the
conventional media, relied on Twitter during the Boston Marathon bombing in order to stay up to
speed. In order to report news stories, journalists would access the Twitter feed, while also
checking their phones to see what other reporters were reporting on. Even though Twitter has a
smaller number of members than Facebook, it has enough to be considered one of the most
prominent social networking sites (Solomon, Bamossy, Askegaard and Hogg, 2013).
2.3. Key Variables
2.3.1. Purchase Intention based on Perceived Value
It is the gap between the advantages customers may receive and the expenses they will
incur that is analyzed by buyers prior making final purchasing choices. Consumers, according to
the idea of consumer behavior, would pick the items and services that best meet their needs.
Perceived value positively correlates with purchasing intent, according to research. If a product
as well as service provides more advantages than negative ones, customers would be more likely
34
to buy it, according to Zeithaml (1998), a researcher in consumer psychology. For e-commerce
businesses in China, Peng and Liang (2011) built a four-dimensional model of perceived value
around limited time price discounts. Consumers' perceptions of the worth of a product rise when
they are experiencing high levels of perceptual time constraints. Emotional value is the only one
of the four dimensions of perceived value that has a substantial impact on consumers' purchase
intentions, indicating that e-commerce enterprises should prioritize capturing customers' emotive
components of perceived value. According to Chen (2003), who used the purchase choice model
centered on consumer perceptions, consumers' perceptions of value are affected by both internal
as well as external influences, including their physical & mental health as well as their
sociopolitical with cultural upbringing. It has been shown that the perceived value of sustainable
goods has a strong beneficial impact on Malaysian consumers' buy intentions for organic
products, according to Shahrudin et al. (2010). It also shows that the advantages of owning,
using, but also consuming a thing are just as important as its price for determining a product's
perceived worth. More information about natural foods products available to consumers through
the web - based technologies has led to an increase in consumers' perceptions of natural
food items as valuable and worth purchasing (Shaharudin, Pani, Mansor,& Elias, 2010). In a
study on jewelry purchase intentions, Wu and Mi (2005) found that consumers' favorable
attitudes toward perceived value were associated with higher buy intentions. To put it another
way, perceiving value is the total of what customers think they're getting and what they think
they're losing. Additionally, they concentrate on the characteristics, designs, and functionality of
products, emphasizing the significance of customer-led design in shifting the way consumer
considers the value of their purchases, and how businesses should approach product development
from the customer's point of view in order to better serve their needs.
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2.4. Summary of Literature Review
The meanings of key words may be clarified by looking at published papers on social media and
customer buying intentions in general as well as telephony industry specific. In addition, it's
important to learn about the numerous approaches and solutions that scholars use to address
these issues. From an existing literature, here are some findings: To begin, there is a clear
understanding of what social media is and how it works. Web 2.0 technologies and user-
generated content have led to the rise of social media. Similar to conventional media, it also
varies from it in terms of communication from the traditional advertising specifically. The
categorization of social media is difficult since there are many different kinds of social media
and digital networking sites are introduced on the Internet every day. Mayfield (2009) proposed
a general taxonomy of social media in western nations, which included online platforms, blogs,
content sharing, podcasts, forums, content sharing, and microblogging. Chinese social media is
exploding, opening up new revenue streams and job opportunities. As a result of being unable to
access international social platforms, China has developed a distinct social media culture and
features that are of interest to academics and practitioners. As a follow-up, a review of relevant
literature is made. In addition to being distinct from other media or online apps, these features
may also play a role in influencing Chinese customers' purchasing behavior including purchase
intention or mindset. Many scholars have come up with a variety of theories on why people
make purchases. Research on intention to buy concept of perceived value is by far the most
frequently accepted opinion among the many viewpoints. The fourth point is that, regardless of
the assumption that buy intentions have been studied by researchers from a variety of
viewpoints, the togetherness of these perspectives on purchasing behavior can be established.
Since purchasing intentions are the result of consumers' psychological processes, they are a
36
common indicator of consumer buying behavior. Recent research emphasizes the relevance of
customer attitude and understanding in influencing the buy intention, regardless of diverse
viewpoints. Product-related functionalities, as well as technological situations, are heavily
dependent on the consumer's perceptions and evaluations of these variables.
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CHAPTER THREE
RESEARCH METHODOLOGY
3.0 Introduction
The third chapter of this research would be focusing on the aspects of research
methodology in this study. The philosophical position, research design, sampling and data
collection, as well as the data analysis method.
3.1. Philosophical Position
Post-positivism is the predominate ideological paradigm in this research. Post-positivists
maintain a probabilistic worldview that researchers might well approach reality by rigorous
testing hypotheses, data collecting and analysis, despite the fact that humans cannot fully grasp
it. Researchers must maintain objectivity at all times when doing their study in order to develop
and gain new knowledge. The prevailing philosophical perspective is logical in light of the
suggested research topics, which attempt to find and examine the causes (possible variables) that
may impact outcomes. To fill in the gaps left by a dearth of empirical studies and ideas on
whether social media affects consumer behavior, exploratory research would rely on the
cognitivist paradigm. This kind of research focuses on the participants' perspectives and tries to
comprehend their subjective meanings conveyed via individual encounters and group dynamics.
Therefore, post-positivism and cognitive theory design are the major philosophical worldviews
in this research.
38
According to Niglas (2004), a study's design and techniques are mostly dictated by the specific
research questions rather than its philosophical viewpoint. Numerous writers have attempted to
integrate quantitative and qualitative methods, despite the fact that many methodologists believe
that they are mutually exclusive and incompatible (Brewer & Hunter 1989, Cresswell
1995,Bryman 1988, Niglas, 2004). Two-phase layout, dominant or less dominant layouts, and
hybrid design are as Creswell (2004)'s suggestions for integrating quantitative as well as
qualitative research methods. An initial qualitative phase is supported by a numerical one in the
two-phase approach (vice versa). As said by Ancona and Caldwell (1992) researched the
communication techniques of various teams inside an organization as well as how the varied
sorts of engagement different groups had participated which would affect the performance. The
research used a quantitative approach, where the data will be analysed using descriptive
statistics.
3.2. Research design
3.2.1. Quantitative
Quantitative research, which focuses on hypotheses and data collection for analysis, utilises a
post-positivist methodology for testing and confirming theories. It refers to things with numerical
values (Kothari, 2004). In contrast to quantitative research, which strives to understand market
phenomena that are difficult to quantify and measure numerically, qualitative research seeks to
understand market phenomena that are impossible to quantify and measure numerically. Using
numerical data, quantitative research examines particular correlations between components.
Based on a literature analysis and interviews with focus groups, as well as the identification of
investigation-relevant components, this study generated a theoretical framework and several
hypotheses. To investigate these ideas, a survey was developed and sent to Chinese social media
39
users and customers. Both phases of research need a substantial amount of critical tasks,
particularly quantitative research, which includes analysing the reliability and validity of
questionnaires and hypotheses, as well as data screening and cleaning.
3.3. Sampling and Data Collection
Some of these approaches include convenience, allocation, snowball, layered, and other
sampling methods that fall under the broad category of probability versus non-probability
sampling (Saunders, Lewis, & Thornhill, 2015). Consistency sampling (non-probability
approach) was the primary method used in this study since it was the most suitable sample
method given the author's limited time and resources (Saunders, Lewis, & Thornhill, 2015).
Convenient selection selects samples from a group of people based on their convenience and
vicinity to the researcher, rather than on their characteristics (Saunders, Lewis, & Thornhill,
2015). It is always preferable in research to examine the whole population, regardless of the
subject matter. However, because to the vast size of the population, it is not feasible to include
every person in the majority of instances. In this example, the subject of the research is rather
broad, with the goal of defining the common elements that encourage Chinese customers to
make mobile purchases via social media or to generate buy inclinations in general. It is
challenging to determine the appropriate sample size for Chinese Internet users because of the
vast number of people who use the Internet in China (Saunders, Lewis, & Thornhill, 2015). As a
result, several methodological publications have been written by researchers discussing the
sample size requirements for various statistical methodologies. As this research is based on the
interviews with different mobile brand users to know from their experience buying, this research
is more integrated on firsthand data.
40
The enormous number of Chinese Internet users makes determining a suitable sample size more
challenging. As a result, a number of methodological research on sample size requirements for
various statistical techniques have been published. According to Hair et al. (2009), the sample
size has a substantial effect on the estimate and interpretation of SEM values. Other studies, such
as Stevens (2002), recommend for a minimum of fifteen instances of each assessed variable or
indicator. According to Thompson (2000), the sample size must be 10 times more than the
number of indicators. According to Bentler and Chou (1987), a minimum sample size of five
occurrences is necessary to estimate a parameter. If the sample size is smaller than 200, at least
100 examples must be included, according to Loehlin (1992). When there are more than 10
variables and less than 200 samples, model estimates and statistical significance tests are
questionable. If the model has 10 to 15 signals, the sample size will range between 200 and 400.
Rigdon is a fictional character created by Rigdon (Rigdon, 1995). The fundamental model of this
study includes 42 measurable items (indicators) and 148 estimable parameters. A sample size of
at least 420 persons is required for successful model estimate.
3.4. Method for Data Analysis

In this study, structural equation modelling is the primary data analysis technique (SEM). The
term "structural equation modelling" has several interpretations. Rigdon defines SEM as a
method for modelling, estimating, and assessing a (often linear) theoretical network of
interactions between variables (1998). MacCallum and Austin (2000) state that theory testing
entails exploring hypothesised patterns of directional and non-directional correlations between
observable (measured) and unobservable (latent) variables. According to Hair et al., SEM is a
mix of multivariate methods including factor analysis and multiple linear regression (2009). It
outperforms earlier multivariate approaches, though. Traditional multivariate approaches have
41
one drawback: they can only evaluate one link at a time, whereas SEM allows you to evaluate
your hypothesised model through a simultaneous investigation of the entire system of variables
in order to provide parameter estimates and model fitness. SEM enables researchers to examine
both measurable and latent variables, whereas previous methods only integrate measurable
variables. Thirdly, unlike other methods, SEM requires researchers to describe the model in
terms of variable relationships and to support hypotheses with theories. Standard multivariate
techniques assume measurement without error, but SEM provides explicit estimates of error
variances and enables change (and hence are incapable of assessing or correcting for
measurement error).
The measurement and structural models are the two fundamental SEM models. Confirmatory
factor analysis is utilised by the measurement model. Contrary to exploratory component
analysis, confirmatory factor analysis use theories and empirical data to determine the underlying
structure of latent variables. CFA tries to verify and validate theories, whereas exploratory factor
analysis seeks to discover new concepts. CFA is employed to examine the strength of regression
lines from latent factors to observable variables or indicators in order to discover how well
measured variables correlate to constructs (Hair Jr, Black, Babin, & Anderson, 2009).
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CHAPTER FOUR
FINDINGS AND ANALYSIS
4.1. Introduction
In Chapter Four of this research, the findings and analysis of data will be further presented and
discussed. The reliability analysis, regressions analysis, coefficients and correlations test are
among the aspects that will be discussed in current chapter.
4.2. Data Cleaning

The first data set consists of 311 samples. However, two questions raise the stakes for the
contestants. Ineligibles are those who have never utilised social media or made purchases
through social media websites. In addition, the dataset was replicated using just 235 samples.
Sixty cases were excluded based on the time it took respondents to complete the survey. These
respondents completed the questionnaire in less than four minutes, or less than 240 seconds,
which may have resulted in lower-quality results. Respondents may be proficient readers who
can finish the questionnaire within an acceptable timeframe. Because only 311 samples were
collected, 16 were discarded and the remaining 295 were analysed. A backup copy of the 235-
sample dataset will be generated.
4.3. Respondents Profile
4.3.1. Gender
Measures Items Frequency Percentage (%)
43
Male 112 38
Female 183 62
On the 295 questions, there were 183 female replies and 112 male responses, resulting in a
gender imbalance in the sample. According to the iResearch report, Chinese women are more
likely than Chinese males to make online purchases. This might be one of the reasons why more
women than males are eligible to vote in the next election. This study focuses on the entire
purchasing behaviour of Chinese social media users as opposed to gender differences in social
media shopping. It should be emphasised that the participants' gender was picked at random.
4.3.2. Age
AGE <18 1 0.30
18-29 161 54.6
30-39 89 30.20
40-49 32 10.80
50-59 12 4.1
>60 0 0
44
This study's age distribution reveals that 54.60 percent of the population is made of individuals
aged 18 to 29. According to CNNIC's analysis on Chinese social media user research, 34,1
percent of all Chinese social media users are between the ages of 20 and 29. According to the
poll, young people embrace new technology and social media more than older folks, and they are
more likely to use social media than middle-aged and older adults.
4.3.3. Education
Education Middle School 4 1.4
High 21 7.1
School/Technical
Secondary School
Junior College 67 22.7
Bachelor 154 52.2
Master 47 15.9
PhD or higher 2 0.7
The great majority of social media users have a bachelor's degree or more, according to the data.
7.10 percent of individuals graduated from high school, compared to 1.40 percent who finished
middle school. According to data compiled by CNNIC on Chinese social media users in 2012,
45
37.4% of all Chinese social media users were middle and high school students. A more basic
sampling strategy may account for the discrepancy. The vast majority of my social network
contacts hold a bachelor's degree or above. According to the same CNNIC poll, younger and
more educated social media users are more effective at brand promotion and consumer
engagement through social media marketing. Individuals with a higher level of education are
more likely to interact with businesses on social media, share information, and make purchases.
Individuals with a higher level of education have a stronger understanding of social media and its
role; as a result, the samples created should be representative of the whole community.
4.3.4. Occupation
Occupation Unemployed 4 1.4
Student 70 23.7
Freelancer 34 11.5
Government and 20 6.8
Public Workers
Industry and Service 2 0.7
Workers
Migrant Worker 1 0.3
46
Professional and 28 9.5
Technical Personnel
Corporate Staff 91 30.8
Corporate Manager 28 9.5
Retired 3 1
Other 14 4.7
The classification of social media user employment is based on the classification employed in
CNNIC's 2012 study of Chinese customers' online purchasing behaviour. The graph accurately
demonstrates that students and persons with steady work are the most likely to make online
purchases and use social media. Students and business professionals had the greatest engagement
rates, with 23.7% and 30.8%, respectively, according to the report.
4.3.5. Income
Measures Items Frequency Percentage
Income No income 58 19.7
Less than 2000 26 8.8
2000-3000 38 12.9
3001-5000 74 25.1
5001-8000 57 19.3
47
8001-15000 19 6.4
15001-50000 18 6.1
More than 50000 5 1..7
People with monthly salaries between $3,000 and $5,000 and between $5,000 and $8,000 are
more likely to use social media, according to a 2012 CNNIC study on social media users.
According to survey data, clients earning between $3,001 and $5,000 had a high proportion of
25,1% and 19,3%, respectively. According to the figures, 19.7 percent of all users fall under the
category "No Income." Given that many of the participants are students without a source of
money, this is appropriate.
4.3.6. Choice of Social Media Platforms

Name Total Frequency First Choice Second Third Percent of
Choice Choice Cases
WeChat 190 143 40 7 64 percent
(Mobile SNS)
Weibo 116 37 59 20 39 percent
(Microblog)
QQ 60 21 30 9 20 percent
48
In addition to gathering demographic information, the survey inquires about preferred social
networking sites. The findings might assist researchers and businesses in determining which
social media sites are more popular among Chinese customers. In addition, organisations may
require a comprehensive grasp of a certain social networking website, including its features and
the factors that attract users.
4.4. Reliability Analysis

Standard approach for evaluating the consistency and stability of several measurements of a
variable. Examining if the same participants in the same scenario offer comparable findings on
the same questionnaire across time is one method for validating the stability and consistency of a
questionnaire. This quality is referred to as test-retest reliability. Various metrics of
dependability are available for assessing dependability. Cronbach alpha is the most often
employed metric. Various academics evaluate acceptable Cronbach alpha scores in scientific
articles and books using comparable criteria. A Crobach alpha value more than 0.7 denotes the
questionnaire's reliability, but a score greater than 0.6 indicates the questionnaire's acceptability
(Hair Jr, Black, Babin, & Anderson, 2009). With relative Cronbach alpha values of 0.603, 0.626,
and 0.658, Table 5.12 reveals that the constructs of community, accessibility, and discussion may
have reliability issues. Due to the fact that there are just two requirements for accessibility and
conversation, nothing may be removed. Also, it would be reasonable to retain the measuring
tools, as they have already been evaluated for another research.
When used to determine reliability, Cronbach alpha has a positive correlation with the number of
measurement items for each construct or variable, which is an usual inaccuracy (Hair Jr, Black,
Babin, & Anderson, 2009). This explains why notions like accessibility and dialogue have low
49
Cronbach alpha values. Consequently, composite reliability (CR), a statistic utilised in
confirmatory factor analysis, will be used to evaluate the construct and questionnaire.
Cronbach alpha levels of less than 0.7 for accessibility and discussion and somewhat less than
0.7 for connectedness suggest that the questionnaire's measuring items are often reliable.
Construct Name Number of Items Cronbach’s Alpha
Community 4 0.603
Connectedness 3 0.689
Openness 3 0.857
Accessibility 2 0.626
Speed 3 0.824
Dependency 3 0.784
Participation 4 0.867
Conversation 2 0.658
Perceived Risk 6 0.796
Trust 4 0.836
Perceived Value 3 0.740
Purchase Intention 4 0.805
50
4.5. Hypothesis Testing
Table 5.15 presents the Amos output pertinent to the proposed pathways. In the final three
columns, three metrics are displayed: Unstandardized Parameter Estimates (unstandardized
coefficient), Critical Ratio (z statistics), and Probability Value. Eleven of the twenty-four
parameter estimates supplied are statistically significant to varying degrees. At the 5%
significance level, the following hypotheses are statistically significant: H2, H4, H6, H7, H13,
H15, and H19. The H14, H20, and H24 hypotheses are statistically significant at the 1% level. At
the 10% level of statistical significance, the hypothesis H10 is significant. In addition to
statistical significance, it is necessary to compare the signs of unstandardized parameter
estimates to the signs of the hypothesised correlation coefficient, which specifies the direction of
the link. Although statistically significant, the null hypotheses H6, H7, 13, and H19 are not
supported by the data, as the sign of the estimated correlation coefficient is opposite to the sign
of the parameter estimates.
Hypotheses Path (Sign) Unstandardized C.R. P_value
Coeffiecient
1 Sociability 🡪 Perceived Value (-) -0.083 -1.02 0.307
2. Sociability 🡪 Trust (+) 0.405 2.965 0.003**
3. Sociability 🡪 Perceived Risk (-) 0.124 0.828 0.408
4 Openness 🡪 Perceived Risk (-) -0.538 -2.031 0.042
5 Openness 🡪 Perceived Value (+) 0.16 1.201 0.23
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6 Openness 🡪 Trust (+) -0.518 -2.568 0.01**
7 Accessibility 🡪 Perceived Risk (-) 0.83 1.966 0.049**
8 Accessibility 🡪 Perceived Value -0.169 -0.856 0.392
(+)
9 Accessibility 🡪 Trust 0.432 1.417 0.157
10 Speed 🡪 Perceived Risk (-) -0.455 -1.859 0.063*
11 Speed 🡪 Perceived Value (+) 0.183 1.467 0.142
12 Speed 🡪 Trust (+) -0.139 -0.7 0.484
13 Dependency 🡪 Perceived Risk (-) 0.344 2.602 0.009**
14 Dependency 🡪 Perceived Value 0.29 3.76 ***
(+)
15 Dependency 🡪 Trust (+) 0.233 2.065 0.039**
16 Involvement 🡪 Perceived Risk (-) -0.017 -0.226 0.821
17 Involvement 🡪 Perceived Value -0.025 -0.653 0.514
(+)
18 Involvement 🡪 Trust (+) 0.042 0.735 0.462
19 Trust 🡪 Perceived Risk (-) 0.273 2.748 0.006**
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20 Trust 🡪 Perceived Value (+) 0.284 4.939 ***
21 Trust 🡪 Purchase Intention (+) 0.088 1.377 0.168
22 Perceived Risk 🡪 Perceived Value 0.05 0.864 0.387
(-)
23 Perceived Risk 🡪 Purchase -0/017 -0.376 0.707
Intention (-)
24 Perceived Value 🡪 Purchase 1.229 9.891 ***
Intention (+)
*: P < 0.10
** : P < 0.05
*** P < 0.001
The suggestions about statistical significance and parameter estimates support hypothesis H2,
H4, H10, H14, H15, H20, and H24. Given the results of the hypotheses, the optimal next step is
to remove insignificant paths and respecify the model using theory. Since most academics prefer
to utilise the simplest model possible to describe a phenomena, eliminating paths helps the model
more closely resemble its original form. According to Holmes-Smith et al. (2005), non-
53
significant paths should be eliminated one at a time, as removing a path may alter the
modification indices and structural coefficients. H16 (Involvement —> Perceived risk) is a non-
significant route that has no influence on model fit; given the low coefficient estimate (b=
0.017), it is reasonable to disregard it. However, due to theoretical issues, no valid pathways
should be generated based on the modification indices, as was originally advised. The same
restrictions apply when removing non-essential routes. Given the small sample size of 295
individuals and the potential for data normality issues, the hypotheses may be supported if
sufficient reliable data is collected.
At the outset of the data analysis, a dataset with less samples was prepared as a backup. This
dataset may be utilised to develop the model and determine whether the hypotheses, namely the
direction of the association, have changed. Appendix L reveals less meaningful parameter
estimates and just one parameter estimate with a sign change (H19: Trust—->Perceived Risk)
after retesting using the backup dataset and comparing the findings to the original dataset.
Although the sign confirms the hypothesis, it is not statistically significant (97.4 percent way
larger than 5 percent or 10 percent significance level). Aside from this, the overall model fit
decreases when the fit indices (e.g., CFI=0.829 and RMSEA=0.79) fall. It is only the Chi-Square
data that has been improved. This is because Chi-square statistics are especially sensitive to
sample size and favour small samples.
Consequently, the study will continue with the original 295-sample dataset, taking both model fit
and hypothesis testing outcomes into consideration.
4.5.1. Summary of Hypothesis Test

To determine the validity of a theory, hypothesis testing examines the individual structural
parameter estimations of related hypotheses. Since the parameter estimates are statistically
54
significant and the corresponding signals are as expected, seven hypotheses have been
confirmed. The coefficient of determination, often known as R square, is a crucial statistic for
assessing how much variation in the endogenous or dependent variable can be explained by the
model.
4.5.2. Interpretation of Hypotheses

Based on Table 5.15, the following hypotheses are interpreted.
H2: Social media sociability positively influences consumer's trust in social media
The sociability of a social media website influences client trust in that platform (with
unstandardized coefficient estimate equals 0.405 and being significant at 5 percent level). Due to
the positive correlation, a one-point increase in sociability increases consumer trust in social
media by 0.405%.
H4: Social media openness negatively influences consumer's perceived risk.
Customers' risk perceptions when utilising social media are negatively impacted by the degree of
social media accessibility ( with unstandardized coefficient estimate equals to -0.538 and being
significant at 5 percent level). For every one increase in a consumer's openness, the perceived
threat on social media falls by 0.538.
H10: The speed of social media negatively influences consumer's perceived risk.
The sooner content is made public and accessible, the less dangerous users view the social media
network to be. A one-unit increase in speed decreases the consumer's perceived threat on social
media by 0.455%, according to an unstandardized coefficient estimate of -0.455 and a
meaningful threshold of 10%.
55
H14: Consumer’s dependence on social media positively influences consumer's perceived
value.
Customers' reliance on social media to satisfy their needs raises the platform's perceived worth.
Increasing customer reliance by one raises the perceived value of social media by 0.29,
according to an unstandardized coefficient estimate of 0.29 that is statistically significant at the
1% level.
H15: Consumer’s dependence on social media positively influences consumer’s trust in
social media.
The degree to which customers rely on social media to meet their needs affects their level of trust
in social media. According to an unstandardized coefficient estimate of 0.233 that is significant
at the 5% level, a consumer's confidence in social media improves by 0.233 per unit of social
media dependence.
H20: Consumer’s trust in social media positively influences consumer's perceived value.
The more the perceived value of social media use, the more customers have faith in its
effectiveness. According to an unstandardized estimate of 0.284 for the coefficient and a
significance threshold of 1%, increasing trust by one boosts perceived value by 0.284.
H24: Consumer’s perceived value positively influences positively influences consumer’s
purchase intention.
Customers are more likely to make purchases via social media sites if they perceive a high level
of value. A one-unit increase in perceived value raises purchase intent by 1.229%, according to
an unstandardized estimate of the coefficient's value of 1.229 and a significance threshold of 1%.
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4.6. Conclusion
The findings and data analysis have been conducted in this chapter. The last chapter will focus
on the discussion on findings and conclusion of this research.
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CHAPTER 5
DISCUSSIONS AND CONCLUSION
5.1. Conclusion
The goal of this survey is just to investigate the impact of social media on consumption
patterns of mobile phone in China.
The general conclusion of the study is that social media influences customer purchase intent.
However, the social media strategy must be improved so as to pique the interest of consumers
using the appropriate social media characteristics.
The study concludes that social media word of mouth is the most engaging social media
variable. Social network communication spreads faster and is more credible than information
created by the company. The study shows that company-generated material has a detrimental
effect on customer intent. Therefore, it is suggested that businesses in the mobile
telecommunications industry reduce their generated postings and boost user-generated content
and sponsored word-of-mouth marketing. In addition, the study shows that social media sites do
not drive planned buying behavior. Companies may therefore conduct social media marketing on
any social site.
Besides, it is regarded as an important topic because the current theories of literature on the
topic of social networking sites are unsatisfactory. Moreover, social media advertising in China
mobile phone market is still in its initial phases. Having curiosity and strong determination in
this sector, the organizations are behind in the practical field. So, more opportunities should be
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made so that individuals having an interest in this sector can actively participate in achieving the
goal of this survey.
5.1.1. Social networking sites sociability, value perception, honesty, and risk perception
connection
The outcomes of data analysis show that social media's positive personality function has a
notable influence on mobile phone customers facilitated by social media. This is consistent with
the findings of alternate surveys, which indicate that the sense of belonging and sociality of a
virtual community, has a positive influence on clients' trust (Gilly, John, Wolfinbarger, & Yale,
1998; Shadkam &O'Hara, Influence of Virtual Communities on Online Consumers Trust, 2011).
Moreover, the impacts of social media socializing on the viewed profitability performance are
found quite meaningless. But in reality, the prediction of the coefficient's indications disproves
the earlier evidence of the research. According to the survey, even though participants will
believe the social networking site more when it provides them with much more latest mobile
phone information, it will not appear to be advantageous for any of them to obtain useful and
important information and knowledge or even to make better choices, indicating that their
perceived quality on social networking sites will just not enhance.
5.1.2. Connections between social networking sites sociability and risk perception
In regards to social media acceptance assumptions, the adverse impact of flexibility on
risk perception is statistically significant. Because of the accessibility of more mobile phone
knowledge and information, the adverse and insignificant relationship between flexibility and
level of risk was seen when the people on social media felt the need to make feedback and
discuss issues, such as which brand phone they would like to purchase and as a result, their risk
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perception on the system became lowered. Moreover, flexibility doesn't allow users to develop
confidence on social networking sites or enhance their potential value.
5.1.3. Social media value and the risk connection

Very few of the assumptions about social media's access and availability are assisted.
Although the estimated coefficients prediction (0.83) is considerable (0.049) in terms of the
impact of visibility on risk perception, the indicator of the estimation method contradicts the
assumption made. Besides this, the effect of social media access and availability on relative
benefits is bad and unimportant. (=-0.169, p-value=0.392), contradicting the original theory.
Customers' honesty on social networking sites is also unaffected by the ease of access, which
implies whether or not special skills and continued attempts are required for the users to
purchase mobile phone and then use the social networking platforms which have no impact on
their interaction with social media.
5.1.4. The connection among perceived value, risk, speed and trust:
Consumers' perceptions of danger are significantly influenced by the pace with which they use
social networking sites (= -0.455, P-value= 0.063). This implies that customers' perceptions of
risks on social media platforms will be greatly decreased if they can directly access and explore
relevant data on social networking sites, and then if connectivity among people on social media
is swift and proper. Pace, on the other hand, has no impact on perceived value (=0.183, P-value=
0.142). Besides, this really is acceptable in the context that perception is primarily determined by
how useful product details and many other subject matter are to customers. As a result, the pace
with which this information can be obtained is not the most important factor. Furthermore, the
impact of pace on the customer is a subject matter here.
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5.2. Limitation of the study
The process of the research has some barriers and limitations which are discussed under
this part of the research.
5.2.1. The collection of data and sample:
While this survey aims to gather diverse samples geographically due to time limitation
restrictions, there are indeed some issues related to the samples as the descriptive survey is the
method of collecting data. So descriptive survey being one of the non-probability samplings
seems to have the disadvantage of relying on the subject's decision to collect primary data, which
could also lead to different personal discriminations. Furthermore, sample selection selects tests
from the group of people based on their accessibility and availability and even similarity to the
individual who is working on the survey, which may not be descriptive or suitable for a
population logical deduction survey.
5.2.2. Theoretical and literary application
The research focuses on the impact of media platforms on Chinese customer mobile
phone behavior. Although discussed in the second part, the nation of the literature on the topic of
social networking sites is deficient. Besides, numerous articles concentrate on the impact of
social media practices. Because the study is focused on China's social media platforms finding
relevant literature which is more difficult. Also in comparison to the development of the social
media sites in the Developed countries, China is still in the early phases. Besides this, there aren't
even enough articles mentioning the social media's practical implementation and use in China.
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5.2.3. Outcome’s application in real
A suitable model connection doesn't quite assure a real representation of the world based
on previous statements. A suitable model fit simply implies that the system adequately explains
the connection between multiple aspects based on the test statistics. Customers' purchasing
mobile phone processes via social networking sites might be unique and complicated based on
reality. Although previously stated, the suitable model connection doesn't quite assure a real
representation of the world. A suitable model fit simply implies that the system adequately
explains the connection between multiple aspects based on the test statistics. In reality,
customers' purchasing processes via social networking sites may be unique and complicated.
Many significant factors may indeed be missing from the framework, or alternative systems may
exist that help clarifies the connections. Concluding that, rather than entirely depending on the
evidence-based study results, it is effective to solve individuals including some good information
and preferred for the process in reality.
5.3. Recommendation
5.3.1. Impacts in Management

Brand loyalty is the truest measure for making a connection between customer satisfactions and
buying intention. This finding reveals and combines preceding factors that affect consumer
purchasing intentions in the social media environment. In the age of social media, a rising
number of Chinese business owners are making investments in social networking sites to boost
sales and maximize profits. Following are some recommendations based on proven findings
mostly with the intention of gaining a few perspectives for the business enough so that the
organizations can become more successful in digital marketing and also try to gain financial
benefits.
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5.3.2. Choosing social media platforms with high sociability and creating:
The empirical finding shows that the sociability function of social media will influence
consumers’ trust and trust subsequently positively influencing the perceived value and perceived
value finally has a positive influence on purchase intention. Sociability is specifically
represented by the degree of commonality and connectedness on social media platforms.
Companies may evaluate the sociability of a particular platform on multiple criteria. Are there
many interest groups and small communities on the platform? Do people interact frequently
within their groups and fully discuss a specific topic? How many group members are real
contributors to this group(meaning whether or not the contents they discuss are valuable and
valid)? Are there any influencers in the group who can easily start a conversation with many
followers? Are users willing to share purchase and post-purchase experiences or other product
and service information within each group? These questions help companies to identify whether
the target platform is appropriate for social media marketing. In addition, if there is no strong
atmosphere of community and connectedness on a platform but that platform is well developed
with a large number of active users, companies may create groups themselves and invite target
users to join. This option is probably most effective as companies have full control of these
groups and in reality, a lot of companies have already created their home page and public
profiles on different platforms. But creating a public profile is not the end but rather the
beginning of social media marketing. Companies should continuously maintain the group by
publishing topics and information that can attract more users, especially those real contributors,
and engaging them in discussion. In conclusion, creating groups and communities on social
media help companies to attract loyal consumers and build trust among members by engaging
and encouraging discussion. This also helps in the long term as more and more trust and
perceived value are established by consumers and when consumers have needs, the likelihood of
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them purchasing from these companies is high.The interactivity feature of social media will be
useful in improving customer confidence. The empirical result suggests this. Following that,
confidence will have a favorable impact on customer perception. This will subsequently benefit
the buyer when it comes time to buy the goods or service. Ultimately, received and consumer
perception have a beneficial impact on consumer buying behavior. The intensity of
connectedness and togetherness on online platforms is a specific indicator of sociability.
Businesses can assess a site's interactivity using a variety of metrics.
This brings up the following issues:
● Could there be a large number of lobbyists and regional societies on the platform?
● Do individuals communicate with one another in their communities on a regular basis
and completely debate a given topic?
● Number of times members of these groups are true participants (that is, whether or not
the topics they cover are accurate and reliable).
● Could there be anyone in the community who can quickly engage in conversation with a
high number of audiences?
● Did the users seem eager to discuss their shopping and post-buy experiences, as well as
knowledge about other goods & services, in each community?
These inquiries assist businesses in determining if the intended site is acceptable for social media
marketing. Furthermore, if a site lacks a feeling of closeness and connectivity but has been
highly established with a big popularity of social networking sites, firms may build communities
and ask potential customers to participate. The above method is by far the most successful
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because firms possess absolute ownership over these communities, and many businesses already
have developed their official website and public presence on several networks. However,
building a media persona is only the commencement of social media marketing; businesses must
constantly nurture the community by releasing subjects and material that can entice prospective
members, particularly those who are genuine participants, as well as involving individuals in
debate. Finally, by participating and promoting debate, organizations may acquire dedicated
customers and develop group cohesion by forming communities via social media. Then it also
benefits in the long term since customers are establishing ever more confidence and value
perception, and then when clients possess requirements, the probability of customers adopting
from such firms is substantial.
Groups and in reality a lot of companies have already created their home page and public
profiles on different platforms. But creating a public profile is not the end but rather the
beginning of social media marketing, companies should continuously maintain the group by
publishing topics and information that can attract more users, especially those real contributors,
and engaging them in the discussion. In conclusion, creating groups and communities on social
media help companies to attract loyal consumers and build trust among members by engaging
and encouraging discussion. This also helps in the long term as more and more trust and
perceived value are established by consumers and when consumers have needs, the likelihood of
them purchasing from these companies is high.
In truth, many parties and businesses have already developed their websites and public profiles
on various platforms. However, building a public presence is only the start of social media
marketing; businesses could perhaps constantly nurture the community by providing subjects as
well as material that just might attract and retain members, particularly for those that are genuine
65
participants, actively involving them in debate. Finally, through participating as well as
promoting debate, organizations may acquire dedicated customers and develop group cohesion
by forming groups and communities on social media. Customers gain higher confidence and
perceived usefulness over time. Whenever clients have demands, the probability of their
acquiring from such businesses is great.
5.3.3. Choosing social media platforms with high sociability and creating: Choosing social
media platforms on which people heavily relied and creating user dependency on your
brand:
Empirical results in this study suggest that social media dependency will have positive influences
on both trust and the perceived value of consumers on social media. The perceived value further
influences purchase intention positively. As media dependency theory explained, the more a
person relies on the media to satisfy his or her needs, the more important that media will be in a
person’s life and there will be more effects on a person. This indicates that companies should
select a social media platform whose user viscosity is high. The viscosity is not simply evaluated
by the number of users on a platform, but rather evaluated by the frequency and time length of
using a particular platform. Questions such as “How often do you use the platform?", "How long
much time do you spend every day on the platform?", "Would you use social media to seek
information and ask for help?" According to the empirical data reported in this research, social
media reliance has a beneficial effect on both the quality and satisfaction worth of customers on
social media. This one has a favorable impact on the perceived quality. So if a person relies
mostly on the medium to fulfill their obligations, as stated by media dependence theory, it is that
the media they are involved in is significant to their life and has an impact on them. Research
suggests that businesses should choose a social media network with increased customer
permeability. The stickiness is determined not only by the number of participants on a medium
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but also by the regularity as well as the length of time spent on that platform. If the platform has
a high user viscosity, then it is the proper candidate platform for social media marketing. The
high user viscosity of the social media platform does not necessarily guarantee that users will be
highly dependent on and pay attention to all the information. There must be certain features and
functions that attract people repeatedly to use the platform. This means that companies should
develop their points of attraction to retain existing followers on the platforms and obtain more
users. In essence, companies should always start from the consumer’s point of view to identify
and capture the needs of consumers and make them feel that they can always trust and seek help
from companies. Suggestions of two steps by Taprial and Kanwar (2012) are instructive and
helpful in creating the consumer’s dependency on the company on social media. In the first step,
companies should establish their brands on social media with a clear name, logo, color schemes,
core values, etc. This aims for distinguishing the brand from other brands so that corporate
identity becomes prominent and visible to all users on social media. If companies keep being
active on social media and being distinctive from other brands, users will be attracted to the
information as people want to follow things that are new, distinctive, and innovative. The second
step requires companies to build long-term relationships with consumers on social media.
Getting attention from consumers for the first time is just the beginning, being able to retain
these consumers and turn them into loyal customers and followers is the final success. Two
approaches help this transition. Companies should satisfy consumers’ needs by communicating
with and listening to them on social media. Providing support, care, and service such as
answering queries, solving problems, and taking suggestions and feedback, are effective ways to
enhance the relationship between consumers and companies on social media. The time going, the
type of communication becomes routine and consumers will unconsciously focus this brand
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updates on social media, and consider it the priority when there is a need. A more proactive
approach as is already adopted by many companies is to use social media in-built tools such as
sending regular newsletters and messages to users containing the newest information regarding
new products, special discounts, freebies, etc. This approach is similar to other online and offline
approaches. One potential problem is that users may perceive these emails and messages as junk
information. Whichever social media sites have the highest amount of user density and
stickiness, are good choices for social media marketing. The social networking sites site's large
user viscosity somehow doesn't guarantee that users will be largely dependent on and attach
importance to all content. Specific services must be present to entice individuals to return to the
platform on a regular basis. Which implies that businesses should create their unique areas of
engagement in order to keep existing followers on the sites and make it more appealing.
Basically, firms must always begin from the customer perspective in order to recognize and
address the demands of customers and make them feel that they can always recognize and
require support from businesses. Taprial and Kanwar (2012)'s recommendations of two phases
are enlightening and beneficial in developing the consumer's reliance on the firm on social
networking sites. Businesses first should build their brands online with a defined title, emblem,
and colour palette, fundamental values, etc. This tries to differentiate the company from
competitor companies such that the company image is evident and apparent among all netizens.
Consumers will be drawn to the content if firms continue to be popular on social media as well
as differentiate themselves from those other companies. Consumers like to pursue original ideas,
special, and inventive. The second level needs businesses to cultivate lengthy connections
between customers through social media. Captivating clients' interest during the first moment is
only the start; the ability to keep these consumers and convert them into devoted consumers and
68
supporters is the ultimate outcome. This shift can be facilitated in two ways. To begin, customer
requirements should be met by engaging with and responding to them on social networks. It will
give them assistance, attention, and amenities such as responding to questions. Conflict
resolution and accepting recommendations and criticism are excellent approaches to improve
consumer-company relationships on social media. Whenever time passes, buyers will
instinctively focus on brand upgrades. It would become habitual. Once there is a requirement, the
organization will give it first attention. A systematic route, several businesses are already using,
is to leverage the built-in features in social media sites. this can include mailing newsletters daily
and texts to users with the most recent information on new items. Big discounts, free samples,
etc are such examples. Other online and offline methods can be compared with this method.
However, one possible issue is that consumers may consider these emails as spam.
In summary, the two steps involved in social media marketing are instructive in helping
accompany to build long-term relationship with consumers and create dependency among
consumers. In the long term, consumers become more and more dependent on the company and
brand. They also have more trust and perceived value on this company than other companies.
The likelihood of purchasing from this company is high when consumers have needs. The two
processes associated with social media advertising are instructional in assisting in the
development of lengthy relationships with customers as well as the creation of customer reliance.
Long term, clients grow increasingly reliant on the firm and reputation. Consumers also have a
higher level of confidence and value perception in this firm than in others. If customers have
demands, they are more likely to buy from this firm.
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5.3.4. Being open and fast (arguable):
The openness and speed characteristics of social media only negatively influence perceived risk
but perceived risk does not significantly influence perceived value and purchase intention. So the
suggestions proposed here may not be applicable and instructive in reality especially in terms of
increasing consumer’s trust, perceived value and purchase intention. Nevertheless, what could be
useful for companies is to reduce the perceived risk consumers have on them by being more open
and fast in terms of providing information, answering queries, solving problems for consumers.
Even though based on the results of this study, these actions do not necessarily turn into benefits
(higher trust, more perceived value, higher purchase intention)for companies, still consumers
may provide benefits for companies such as spreading information ,also known as online word-
of-mouth, to other people on the networks. Even if this information is neutral without comments,
it may be influential and helpful for other users. In that sense, it would be better for companies to
provide more information available meaning being open and distribute information fast meaning
being fast. Both transparency and velocity of digital networking only have a detrimental effect
on total cost, however risk perception will have no influence on functional value or brand
preference. As a result, the ideas made here may not be useful or enlightening in practice,
significantly in relation to building customer loyalty, value perception, and buying intent.
Nonetheless, it may be beneficial for businesses to minimize the risk perceptions that customers
have in them by being more accessible and quick in giving information, replying, and finding
solutions for customers. Regardless, according to the conclusions of this study, the
aforementioned acts do not always result in gains. Profits may be defined as increased
confidence, projected value, and proclivity to purchase a product or service. Customers can still
bring benefits to businesses through passive marketing or word-of-mouth interactions, whether
70
online or offline. Even if the information is neutral and without opinion, it can still be useful and
influential to other potential and present consumers.
71
5.4 Recommendations for Future Research
As mentioned in the previous section, there are several limitations in this study. By taking
the results of empirical analysis into consideration, some suggestions for future research are
described as follows. Firstly, this study fails to achieve good model fit partly due to insufficient
sample size, but also due to the fact that no pilot test was conducted so that it would provide a
chance for modifying the models and constructs measurement if possible. So in future research a
pilot test should be conducted to ensure the quality of the study. Secondly, in relation to the first
suggestion, some of the measurement items for constructs should be refined by either reviewing
more literature or ask social media experts for evaluation in future study. Thirdly, even though
the study took a confirmatory approach in validating the theory and model. This study however
has some significant drawbacks as stated in the preceding section of the study. The empirical
analysis done and the findings are taken into account. the following recommendations for further
research are made. Starting with the fact that this study fails to obtain an excellent fit of the
model, partially because of limited sample size but also because no initial test was undertaken.
this would have provided an opportunity to adjust the frameworks and structures measurement if
necessary. To ensure the reliability of additional investigation, a pilot test should be performed.
Furthermore, with regard to the first proposal, a few of the conceptual measuring questions must
be modified by studying further research or asking social media specialists for feedback in a
future work. Finally, despite the research study used a predictive technique to validate the theory
as a framework.
72
Social media theories are in shortage and developmental. Referencing theories and empirical
results from other fields to study the influence of social media are to some extent exploratory
study. In future research, to develop alternative models would be more reasonable and better
strategy to see which model demonstrates best fit. Throughout the future, developing multiple
models might be a more logical and superior way to determine whichever scenario displays the
greatest match. Citing ideas and empirical evidence from other domains to investigate the impact
of social media is an exploratory research.
Fourthly, as this study focuses on the factors that influence consumer behavior in general
under the social media context, future study may explore the differences between samples from
the population. Examples could be the gender difference or age difference of social media
influence on consumer behavior. It could also be the difference in consumer behavior between
users of various social media platforms. In addition, this study ignores the external variable such
as product related factors. In future research, these factors could also be included as the influence
of social media on consumer behavior can also be product-related.
Future studies might look at the disparities amongst public samples. This is due to the fact that
the study focuses on the components that influence consumer behavior in general in the context
of social media. Gender or age inequalities are examples of how social media influences
customer behavior. The behavior of users on different websites may also be a factor. In addition,
external variables such as product-related difficulties are entirely ignored. These components
may be included in future research because the influence of social media on customer behavior
might be attributable to products as well.
73
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Appendix
QUESTIONNAIRE
Construct No of Measurement Items References

name Items
Community 4 Q1.I can find many people of the same (Teo, Chan, Wei,
interest or background on social media & Zhang, 2003)
platforms.
Q2.I can cultivate more intimate

relationship with others on social media
platforms, which are not easy to be formed
in the physical world
Q3.I often share emotions and

communicate my feelings with friends on
social media platforms.
Q4.I like to be part of the community or

interest groups on social media platforms.
Connectedness 3 Q5. I often use the same social media (Mayfield,

identity to log on different social media 2008)
platforms.
Q6. I often share contents from other social

media platforms and post it in one social
media platform through links.
Q7. I can edit and communicate

information on the social media platform in
the form of text, sound, picture, video etc.
Openness 3 Q8. I can use the social media platform for (Wathne, Roos,
free. & Krogh, 1996)
(蕾, 2009)
Q9. I can join the social media platform
freely.
80
Q10. I can get information and publish
posts on social media platform freely.
Speed 3 Q13. I can quickly browse the product and (Taprial &
information I need on the social media Kanwar, 2012)
platforms.
Q 14. The contents I publish on social

media platforms are available to my friends
quickly.
Q15. I can communicate with my friends

on social media platforms instantaneously
without delay due to influence of external
factors.
Dependency 3 Q16. When choosing products or services, (Johnson &

social media is my first priority for Kaye, 1998)
gathering information.
Q17. I am used to searching information

about products and services through social
media platforms
Q18. I spend more time on social media

than other online media such as company
websites offering products and services,
online shopping websites and web portals
Participation 4 Q19. I often search product and service (Mayfield, 2008)

information through social media
platforms.
Q20. I often make comments or share

experience with my friends about the
products and services I have used before
through social media platforms.
Q21. I often start a discussion topic about

products and services on social media
platforms
Q22.I often participate in the discussion

about products and services proposed by
81
my friends on social media platforms.
Conversation 2 Q23.I often discuss product and services (曹, 2007)

with my friends on social media platforms
Q24.I am willing to help friends who have

problems regarding the use of social media
Perceived Risk 6 Q25.I think there is a low financial risk in (Hassan, Kunz,
buying products and services or acquiring Pearson, &
information about products and services Mohamed, 2006)
through social media platforms
Q26.I think the probability of getting poor-

quality products and services through
social media platforms is low.
Q27.I think the probability of wasting a lot

of time on buying products and services
through social media platforms is low.
Q28.I think the probability of harming my

physical and psychological health by
purchasing products and services through
social media platforms is low. ( long time
exposure to computer screen, anxiety of
waiting goods arrival, etc)
Q29.I think the probability of leaking my

privacy in purchasing products and
services through social media platforms is
low.
Q30. I think the probability of getting me

under social pressure in purchasing
products and services through social media
platforms is low. (Friends’ approval of my
behavior)
Trust 4 Q31. I think information on social media is (蕾, 2009)
82
trustworthy.
Q32. I think friends on social media are

trustworthy.
Q33. I think the social media I use is

trustworthy.
Q34. I will share my good experience with

my friends about buying products or
acquiring information on social media
platforms.
Perceived 3 Q35. After I acquire information about (蕾, 2009)

Value products and services on social media
platforms, I know their quality and
function better.
Q36. I can find products and services that

are more suitable for my personal quality
and styles on social media platforms.
Q37. I can save a lot of time and energy

acquiring information about products and
services on social media networks.
Purchase 4 Q38. Using social media platforms help me (McKnight &

Intention make decisions better before purchasing Chervany, 2002)
goods and services.
Q39. Using social media platforms

increases my interest in buying products
and services.
Q40. If I find out that the utility of the

products or services is larger than personal
devotions in terms of money, time and
energy, I will consider buying this products
or services
Q41. I am very likely to buy products or

services recommended by my friends on
social media platforms.
83
84

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Master of Business Administration

The effect of social media on consumer

Name : Chen Jie

The effect of social media on consumer

Research Area: Xxxxx Xxxxx Xxxx

Institute of International Education

Name of Degree: Master of Business Administration

Title of Project Paper/Research Report/Dissertation/Thesis (“this Work”):

Field of Study: Consumer behavior

I do solemnly and sincerely declare that:

Candidate’s Signature: Date:

more desirable viral material.

Key words: social media, consumer behaviour, purchase intention, marketing

I would like to express my special thanks of gratitude to my supervisor as well as other

Figure-2: Age data analysis……………………………………………………….…..45

Figure-3: Education data analysis…………………………………………………….46

Figure-4: Education data analysis…………………………………………………….48

Figure 5: Current city living data analysis…………………………………………….50

1.1. Background of the study

technologies to facilitate dynamic, direct interaction or conversation among individuals.

marketing efforts (Yang, Tang, Men and Zheng, 2021).

Making a purchasing decision or establishing a purchase intention.

Zheng, 2021; Zhang, Daim and Zhang, 2021).

1.2. Problem Statement

consumer purchase choices (Heinonen, 2011).

are a plethora of research articles available on online consumer behavior (Fondevila-Gascón,

1.3 Research Questions

accordance with the study objectives and reasons, as follows:

purchase intention of mobile telephony industry in China?

purchase intention of mobile telephony industry in China?

purchase intention of mobile telephony industry in China?

purchase intention of mobile telephony industry in China?

1.4 Research Objectives

and purchase intention of mobile telephony industry in China.

and purchase intention of mobile telephony industry in China.

and purchase intention of mobile telephony industry in China.

4. To investigate the relationship between involvement, perceived risk, perceived value,

trust and purchase intention of mobile telephony industry in China.

1.5 Significance of Study

campaigns regarding promoting mobile phone.

proposed conceptual framework.

2.1. Review on both of independent variables and dependent variables

2.1.1. The Concept of social media

based method of communication that enables individuals to engage in the advertising, retailing,

markets and communities as mentioned by Zhou and Zimmermann (2013). As a further

collaborative process in which the audience participates in the creation of new material or

agreed to the same idea in Africa as well (2017).

providers to express their satisfaction or concerns or just to ask inquiries.

2.1.2. Consumer Purchase Intention

Purchase intent is the willingness of consumers to purchase a particular product as well as

intentions may accurately anticipate their actual actions (Eqwubo, 2020).

fundamentals of consumer behavior by speeding up the process of purchasing goods and

improved. Knowledge on a product may be found in a variety of formats on social media,

psychological intentions to purchase.

2.1.3. Conceptual Framework

comprehend the influence of social media, according to a cross-section of certain studies

determinants of social media: user-generated content and company-created content. However,

the incorporation of the two factors (2020).

H2: Social media community positively influences consumer

H3: Social media community positively influences consumer’s trust

H4: Social media connectedness negatively influences consumer

H5: Social media connectedness positively influences consumer

H6: Social media connectedness positively influences consumer’s

trust in social media.