Drivers of consumer attitudes towards online shopping in the Indian market: analysis through an extended TAM model

Abstract

The diffusion of the internet has changed advertising, sales, and delivery channels in the retailing industry. Currently, e-commerce industry in India is investing high amounts of money to increase its sales capabilities to perform a wider range of transactions. The main feature of online retailing is the convenience of shopping at any time and receiving the purchased items instead of approaching a physical store. There is a need to analyse consumer's attitudes towards shopping products online in order to gain competitive advantage in the India context which has an 11% of internet penetration. This research proposes a conceptual framework to explore trust, social influence, and digital literacy in forming consumer's intentions to shop online by extending the technology adoption model (TAM). On the basis of 123 collected observations and the analytical technique of partial least squares, this study finds that trust has a strong influence on formation of consumer attitudes and perceived usefulness is a core belief that also influences further attitudes and intentions to shop online. Implications for managers and researchers are discussed.

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