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Managing Perceptions Through Process Visibility to Improve Online Customer Outcomes

Costa, Claudia Regina Macedo da (2005) Managing Perceptions Through Process Visibility to Improve Online Customer Outcomes. Doctoral Dissertation, University of Pittsburgh. (Unpublished)

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Abstract

Although electronic commerce technology often reduces overall costs, it also creates a discontinuity in the order fulfillment segment of the buying process: the fulfillment process becomes a "black box." This discontinuity means that the customer does not have complete information of the purchase affecting customer perceptions of the transaction. Information technology provides a variety of ways for firms to make this process more visible. Providing information about the fulfillment process is expected to increase perceived justice by reducing customer anxiety, enhancing the fairness of the transaction; and ultimately improving customer outcomes, mainly customer satisfaction, service satisfaction, word of mouth and repurchase intention. The objective of this study is to analyze the role of process visibility in mitigating this discontinuity and its impact in customer outcomes. The research method is a scenario-based experiment and factors involved are fulfillment process visibility, the presence of fulfillment problems and compensation for fulfillment problems. Also customer prior experience with online retail channels is used as a control variable. The design is a between-subjects, incomplete 2x2x2, with an unbalanced number of participants and two missing cells. The participants were 153 undergraduate business students from an American northeast university.The results show that process visibility by itself has a positive impact on customer outcomes. Compensation and online buying experience did not show a direct impact on customer outcomes. Online buying experience moderates the impact of process visibility on service satisfaction and repurchase intention. Lastly procedural justice mediates the impact of process visibility on customer outcomes. The major practical implication from this study is that process visibility should be taken in consideration in online designs. It is shown that process visibility alleviates the discontinuity introduced by computer mediation, making the customer more satisfied, and increasing customer outcomes. The major theoretical implication is that it demonstrates how and why electronic commerce is different from traditional commerce. The discontinuity will also affect other behavioral aspects of electronic commerce, like trust, perceived risk, etc; and technical aspects, like business integration, web site design, etc. This research study opens a new path to be followed by electronic commerce researchers.


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Details

Item Type: University of Pittsburgh ETD
Status: Unpublished
Creators/Authors:
CreatorsEmailPitt UsernameORCID
Costa, Claudia Regina Macedo daccosta@katz.pitt.edu
ETD Committee:
TitleMemberEmail AddressPitt UsernameORCID
Committee CoChairButler, Brian Sbbutler@katz.pitt.edu
Committee CoChairGalletta, Dennis Fgalletta@katz.pitt.eduGALLETTA
Committee MemberBirnberg, Jacob Gbirnberg@katz.pitt.eduBIRNBERG
Committee MemberFeick, Lawrence Ffeick@katz.pitt.eduFEICK
Committee MemberChoudhury, Vivekvivek.choudhury@uc.edu
Date: 30 August 2005
Date Type: Completion
Defense Date: 21 July 2005
Approval Date: 30 August 2005
Submission Date: 17 August 2005
Access Restriction: No restriction; Release the ETD for access worldwide immediately.
Institution: University of Pittsburgh
Schools and Programs: Joseph M. Katz Graduate School of Business > Business Administration
Degree: PhD - Doctor of Philosophy
Thesis Type: Doctoral Dissertation
Refereed: Yes
Uncontrolled Keywords: electronic commerce; customer satisfaction; Human Computer Interaction; perceived justice; Process visibility
Other ID: http://etd.library.pitt.edu/ETD/available/etd-08172005-173613/, etd-08172005-173613
Date Deposited: 10 Nov 2011 19:59
Last Modified: 15 Nov 2016 13:49
URI: http://d-scholarship.pitt.edu/id/eprint/9145

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