Shedding a scientific light on e-commerce management

Shedding a scientific light on e-commerce management
Staged growth model of e-Commerce

e-Commerce (EC) sales have been increasing consistently for decades all over the world. Although EC has great advantages over traditional commerce, succeeding in EC business is not an easy task.

So far EC owners have been making their decisions based on unscientific approaches, such as an educated guess, experience, superficial numbers, and a hunch.

Shigeru Hayashi and Kunihiko Higa at Tokyo Institute of Technology have proposed a model called the Staged Growth (SG) model of EC. The model is intended to provide EC owners with a scientific means to view their own EC sites and customers.

The SG model was validated with field data from an EC site. The result indicated that approximately 80% of purchasing behavior at the site could be explained with both trust and value factors. The practical use of the model was also verified by interviewing seven managers of EC sites.

With the SG , practitioners will be able to examine the effect of individual marketing efforts and researchers will be able to analyze the transitional behavior of customers and the mutual interplay between trust and value factors.

More information: "Analysis of Differentiating Factors among Trust and Value Stages in e-Commerce Growth Process." ci.nii.ac.jp/naid/110007605527/en/

Citation: Shedding a scientific light on e-commerce management (2015, August 25) retrieved 29 March 2024 from https://phys.org/news/2015-08-scientific-e-commerce.html
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