The effect of social capital on the performance of Small, Medium and Micro Enterprises (SMMES) in Makana Municipality
- Authors: Klaas, Anesipho
- Date: 2020
- Subjects: Small business Entrepreneurship
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/12373 , vital:39258
- Description: The small, medium and micro-enterprises (SMMEs) are essential drivers to the social and economic growth. These enterprises have an essential role in employment creation and eradication of poverty in South Africa. SMMEs in South Africa are comprised of heterogeneous groups of businesses in various sectors including services, manufacturing and agriculture. This study investigated the effect of social capital on the performance of SMMEs. Thus, the primary objective of the study was is to investigate the impact of social capital on the performance of SMMEs in Makana Municipality, and the secondary objectives were to determine the effect of bonding social capital on the performance of SMMEs and determine the effect of bridging social capital on the performance of SMMEs. This study discovered that all three forms of social capital, namely: bonding, bridging and linking social capital have a positive effect on the performance of SMMEs. In order to collect data, the researcher distributed questionnaires to the sampled SMMEs in the towns within the Makana Municipality. All the questionnaires were completed by the respondents. The researcher did not interfere in this process but helped where necessary. Prior to the distribution of questionnaires, validity and reliability were ensured in order to eliminate problems in the questionnaires. A total of 126 questionnaires were distributed. To scale the responses in the questionnaires, Likert scale was used in this study. The sections in questionnaires were measuring the extent to which social capital contributes to the performance of SMMEs. Of the 126 questionnaires that were distributed, only 98 questionnaires were returned and used in this study. Thus, the response rate was 71% which is high. Because social capital affects the performance of SMMEs, this proves further the need for government to support these businesses. This study made a theoretical contribution to the literature on social capital and its important on the performance of SMMEs. The researcher recommends that all SMMEs across the world consider the effect of social capital on their performance. Given the importance of successful SMMEs in the growth of the country’s economy and, also the role they play in addressing the unemployment problem, it is recommended that all SMMEs consider the positive impact of social capital in their growth.
- Full Text:
- Date Issued: 2020
- Authors: Klaas, Anesipho
- Date: 2020
- Subjects: Small business Entrepreneurship
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/12373 , vital:39258
- Description: The small, medium and micro-enterprises (SMMEs) are essential drivers to the social and economic growth. These enterprises have an essential role in employment creation and eradication of poverty in South Africa. SMMEs in South Africa are comprised of heterogeneous groups of businesses in various sectors including services, manufacturing and agriculture. This study investigated the effect of social capital on the performance of SMMEs. Thus, the primary objective of the study was is to investigate the impact of social capital on the performance of SMMEs in Makana Municipality, and the secondary objectives were to determine the effect of bonding social capital on the performance of SMMEs and determine the effect of bridging social capital on the performance of SMMEs. This study discovered that all three forms of social capital, namely: bonding, bridging and linking social capital have a positive effect on the performance of SMMEs. In order to collect data, the researcher distributed questionnaires to the sampled SMMEs in the towns within the Makana Municipality. All the questionnaires were completed by the respondents. The researcher did not interfere in this process but helped where necessary. Prior to the distribution of questionnaires, validity and reliability were ensured in order to eliminate problems in the questionnaires. A total of 126 questionnaires were distributed. To scale the responses in the questionnaires, Likert scale was used in this study. The sections in questionnaires were measuring the extent to which social capital contributes to the performance of SMMEs. Of the 126 questionnaires that were distributed, only 98 questionnaires were returned and used in this study. Thus, the response rate was 71% which is high. Because social capital affects the performance of SMMEs, this proves further the need for government to support these businesses. This study made a theoretical contribution to the literature on social capital and its important on the performance of SMMEs. The researcher recommends that all SMMEs across the world consider the effect of social capital on their performance. Given the importance of successful SMMEs in the growth of the country’s economy and, also the role they play in addressing the unemployment problem, it is recommended that all SMMEs consider the positive impact of social capital in their growth.
- Full Text:
- Date Issued: 2020
Determinants of consumerisation of information technology and its effect on employee performance
- Authors: Khayundi, Hilda
- Date: 2019
- Subjects: Information technology -- Economic aspect Organizational effectiveness
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/16906 , vital:40784
- Description: The ubiquitous nature of personally technological advanced devices and applications has engendered various predictions for the current employee at the workplace. With the introduction and adoption of mobile phones, tablets, laptops and even software, organisations are gradually allowing employees to utilise their personal mobile devices at the office to accomplish their tasks. This has led to the term Consumerisation of Information Technology (CIT) or IT consumerisation. The purpose of this study was to investigate the determinants of consumerisation of IT and its effect on job performance of staff at an institution of higher learning. This study used a theoretical framework - The Unified Theory of Acceptance and Usage of Technology – to find out if indeed consumerisation of IT has an effect on job performance. An online questionnaire was sent to the university’s staff email and a total of 230 responses were recorded. The study used a quantitative research approach. The Statistical Package for Social Sciences (SPSS) software was used for data analysis to test the hypotheses. Tests such as the multiple linear regression, factor analysis, correlations, ANOVA and t-tests were used to test the hypotheses. The findings of the study showed that there is a relationship between the determinants of consumerisation of IT and their effect on job performance at the workplace. These determinants are performance expectancy, social influence and facilitating conditions. Effort expectancy was the only factor that did not have an effect on consumerisation of IT. As such the study suggested that institutions and organisations to take note of the technological development of devices that can help employees improve their productivity. However, this should be treated with caution as there are also negative effects such as technostress and cyberloafing which may be associated with the advent of consumerisation of IT, therefore it should be a gradual process in order to see the benefits.
- Full Text:
- Date Issued: 2019
- Authors: Khayundi, Hilda
- Date: 2019
- Subjects: Information technology -- Economic aspect Organizational effectiveness
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/16906 , vital:40784
- Description: The ubiquitous nature of personally technological advanced devices and applications has engendered various predictions for the current employee at the workplace. With the introduction and adoption of mobile phones, tablets, laptops and even software, organisations are gradually allowing employees to utilise their personal mobile devices at the office to accomplish their tasks. This has led to the term Consumerisation of Information Technology (CIT) or IT consumerisation. The purpose of this study was to investigate the determinants of consumerisation of IT and its effect on job performance of staff at an institution of higher learning. This study used a theoretical framework - The Unified Theory of Acceptance and Usage of Technology – to find out if indeed consumerisation of IT has an effect on job performance. An online questionnaire was sent to the university’s staff email and a total of 230 responses were recorded. The study used a quantitative research approach. The Statistical Package for Social Sciences (SPSS) software was used for data analysis to test the hypotheses. Tests such as the multiple linear regression, factor analysis, correlations, ANOVA and t-tests were used to test the hypotheses. The findings of the study showed that there is a relationship between the determinants of consumerisation of IT and their effect on job performance at the workplace. These determinants are performance expectancy, social influence and facilitating conditions. Effort expectancy was the only factor that did not have an effect on consumerisation of IT. As such the study suggested that institutions and organisations to take note of the technological development of devices that can help employees improve their productivity. However, this should be treated with caution as there are also negative effects such as technostress and cyberloafing which may be associated with the advent of consumerisation of IT, therefore it should be a gradual process in order to see the benefits.
- Full Text:
- Date Issued: 2019
E-books preference compared to print books based on student perceptions: a case of University of Fort Hare students
- Authors: Makwanya, Comfort
- Date: 2019
- Subjects: Electronic books College students
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13653 , vital:39688
- Description: Technology has been shifting students’ perceptions and preferences on how they learn. The way in which students perceive print books and e-books greatly affects which format they prefer to use for academic purposes. In recent years, e-book accessibility on a variety of mobile gadgets has become a substitute to print based resources which are costly in terms of production, sharing and heavy in terms of their physical nature. Institutions of higher learning have decided that e-books and related resources are the most preferred options among students. This, however, is in contrary to the research findings which propound that students do not actually favour e-books. The intention of this study was to determine students’ perceptions with regards to using e-books and print books in meeting information needs. In addition, the study aimed to determine students’ awareness, usage, preference and students’ plan to adopt e-books as their only source of information in the future. Contrasting views exist on which format (print or e-book) students prefer for academic purposes to enhance their learning experience with most studies being done in developed countries. Hence, the investigation that uncovers students’ perceptions and preferences towards the two formats in South Africa can provide a better comprehension and conclusion on an African student. This will consequently lead to improved student engagement and improved learning outcomes. A cross-sectional research design was used and a questionnaire administered to a sample of 307 students at the University of Fort Hare’s East London Campus through convenience sampling. Findings from this study showed that students at the University of Fort Hare’s Faculty of Management and Commerce preferred using both (e-books and print books) for their information needs. They also perceived e-books as good as print books, easier and friendly to use and capable of providing adequate information to meet study needs. The findings will assist practitioners to understand readers’ needs, improve awareness, and develop e-book collections and designs that improve the learning process.
- Full Text:
- Date Issued: 2019
- Authors: Makwanya, Comfort
- Date: 2019
- Subjects: Electronic books College students
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13653 , vital:39688
- Description: Technology has been shifting students’ perceptions and preferences on how they learn. The way in which students perceive print books and e-books greatly affects which format they prefer to use for academic purposes. In recent years, e-book accessibility on a variety of mobile gadgets has become a substitute to print based resources which are costly in terms of production, sharing and heavy in terms of their physical nature. Institutions of higher learning have decided that e-books and related resources are the most preferred options among students. This, however, is in contrary to the research findings which propound that students do not actually favour e-books. The intention of this study was to determine students’ perceptions with regards to using e-books and print books in meeting information needs. In addition, the study aimed to determine students’ awareness, usage, preference and students’ plan to adopt e-books as their only source of information in the future. Contrasting views exist on which format (print or e-book) students prefer for academic purposes to enhance their learning experience with most studies being done in developed countries. Hence, the investigation that uncovers students’ perceptions and preferences towards the two formats in South Africa can provide a better comprehension and conclusion on an African student. This will consequently lead to improved student engagement and improved learning outcomes. A cross-sectional research design was used and a questionnaire administered to a sample of 307 students at the University of Fort Hare’s East London Campus through convenience sampling. Findings from this study showed that students at the University of Fort Hare’s Faculty of Management and Commerce preferred using both (e-books and print books) for their information needs. They also perceived e-books as good as print books, easier and friendly to use and capable of providing adequate information to meet study needs. The findings will assist practitioners to understand readers’ needs, improve awareness, and develop e-book collections and designs that improve the learning process.
- Full Text:
- Date Issued: 2019
Gender differences and online shopping decisions of consumers in South Africa
- Authors: Mqulo, Thandokazi
- Date: 2019
- Subjects: Electronic commerce Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/16952 , vital:40788
- Description: Online shopping has emerged as one of the most convenient ways of shopping in both emerging and advanced economies. In South Africa, it has received much attention due to its unique way of satisfying both the rural and urban populations. Online shopping is growing and carries great potential of contributing to a country and/or local areas’ economy and development. The primary aim of the study was to analyse the differences of online shopping between males and females in South Africa. The main objective of this study is to determine if there are significant differences between male and female online shoppers in South Africa. The study is motivated by the literature gap that exists on the online shopping discourse, in that there are few published studies on the online shopping differences between males and females in South Africa. Therefore, there is a lack of information on the importance of online shopping activities on promoting convenience for shoppers in these busy times that people live in. A quantitative approach was used to analyse the data that were collected using a questionnaire. Data was collected from a sample of 377 people who are online shoppers in the Eastern Cape, South Africa. Simple random sampling was utilised for this study. The results showed that there is a significant difference between males and females online shopping patterns as determined by specific variables mentioned in this study. Their study had findings on research hypothesis of attitude towards online shopping, the difference in the usefulness of media on online websites, perceived ease of use of online websites, intrinsic enjoyment, perceived risk and trust towards online shopping. The implications of this study unpack and provides discussion on empirical evidence drawn from the study’s statistical results. The implications are presented in a way which explains how the results of this study affect theoretical dimensions of the studied phenomenon, online shoppers and the retail industry. There is a need for more research in this environment and this research study will stimulate further studies in the online shopping environment. Future research may focus on the development of a customer satisfaction scale that uses service quality items in the retail industry, to gather data about what satisfies customers in the retail context.
- Full Text:
- Date Issued: 2019
- Authors: Mqulo, Thandokazi
- Date: 2019
- Subjects: Electronic commerce Consumer behavior
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/16952 , vital:40788
- Description: Online shopping has emerged as one of the most convenient ways of shopping in both emerging and advanced economies. In South Africa, it has received much attention due to its unique way of satisfying both the rural and urban populations. Online shopping is growing and carries great potential of contributing to a country and/or local areas’ economy and development. The primary aim of the study was to analyse the differences of online shopping between males and females in South Africa. The main objective of this study is to determine if there are significant differences between male and female online shoppers in South Africa. The study is motivated by the literature gap that exists on the online shopping discourse, in that there are few published studies on the online shopping differences between males and females in South Africa. Therefore, there is a lack of information on the importance of online shopping activities on promoting convenience for shoppers in these busy times that people live in. A quantitative approach was used to analyse the data that were collected using a questionnaire. Data was collected from a sample of 377 people who are online shoppers in the Eastern Cape, South Africa. Simple random sampling was utilised for this study. The results showed that there is a significant difference between males and females online shopping patterns as determined by specific variables mentioned in this study. Their study had findings on research hypothesis of attitude towards online shopping, the difference in the usefulness of media on online websites, perceived ease of use of online websites, intrinsic enjoyment, perceived risk and trust towards online shopping. The implications of this study unpack and provides discussion on empirical evidence drawn from the study’s statistical results. The implications are presented in a way which explains how the results of this study affect theoretical dimensions of the studied phenomenon, online shoppers and the retail industry. There is a need for more research in this environment and this research study will stimulate further studies in the online shopping environment. Future research may focus on the development of a customer satisfaction scale that uses service quality items in the retail industry, to gather data about what satisfies customers in the retail context.
- Full Text:
- Date Issued: 2019
Mobile money adoption: a case study of Zimbaweans residing in South Africa
- Authors: Chimusoro, Anna
- Date: 2019
- Subjects: Mobile commerce Financial institutions
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13326 , vital:39634
- Description: A mobile phone has become an essential tool for both social and economic development in various countries around the world. For Zimbabweans residing in South Africa, a mobile phone is a lifeline to support family and relatives back home through Eco-cash mobile money service. With the assistance of mobile commerce applications, consumers are able to use their devices for financial transactions, taking pictures, videos and accessing social networks. As such, a mobile phone can be used for a myriad of functions other than communication purposes. These innovative technological developments in the telecommunications sector have also empowered businesses to improve on their efficiency and effectiveness. However, the challenge remains for consumers to adopt these innovations. Therefore, the purpose of this study was to determine the factors influencing the adoption of mobile money (Eco-cash) by Zimbabweans residing in South Africa. The study also established if perceived usefulness, perceived ease of use, perceived risk, perceived trust, social influence and facilitating conditions influence the intention to adopt mobile money (Eco-cash). The research adopted the TAM, extended TAM and UTAUT constructs to develop a theoretical model. A quantitative, descriptive research approach was applied to the study. Both primary and secondary sources were utilised in the collection of data. A self-administered questionnaire was distributed to a sample of 377 respondents through convenience and snowballing sampling methods in East London. Statistical Package for Social Sciences (SPSS) version 25 software packages was utilised to analyse the data. Analysis of Variance (ANOVA) and multiple linear regression analysis (MLR) statistical techniques were employed to interpret the findings. The study found significant relationships on perceived ease of use, perceived trust, perceived risk, perceived usefulness, social influence and user intention. No significant relationship was found between facilitating conditions and user intention. The study recommends that MNOs design mobile money systems that are user-friendly and simple to use. Furthermore, MNOs and mobile money agents can offer value added services to attract more consumers to use their services.
- Full Text:
- Date Issued: 2019
- Authors: Chimusoro, Anna
- Date: 2019
- Subjects: Mobile commerce Financial institutions
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13326 , vital:39634
- Description: A mobile phone has become an essential tool for both social and economic development in various countries around the world. For Zimbabweans residing in South Africa, a mobile phone is a lifeline to support family and relatives back home through Eco-cash mobile money service. With the assistance of mobile commerce applications, consumers are able to use their devices for financial transactions, taking pictures, videos and accessing social networks. As such, a mobile phone can be used for a myriad of functions other than communication purposes. These innovative technological developments in the telecommunications sector have also empowered businesses to improve on their efficiency and effectiveness. However, the challenge remains for consumers to adopt these innovations. Therefore, the purpose of this study was to determine the factors influencing the adoption of mobile money (Eco-cash) by Zimbabweans residing in South Africa. The study also established if perceived usefulness, perceived ease of use, perceived risk, perceived trust, social influence and facilitating conditions influence the intention to adopt mobile money (Eco-cash). The research adopted the TAM, extended TAM and UTAUT constructs to develop a theoretical model. A quantitative, descriptive research approach was applied to the study. Both primary and secondary sources were utilised in the collection of data. A self-administered questionnaire was distributed to a sample of 377 respondents through convenience and snowballing sampling methods in East London. Statistical Package for Social Sciences (SPSS) version 25 software packages was utilised to analyse the data. Analysis of Variance (ANOVA) and multiple linear regression analysis (MLR) statistical techniques were employed to interpret the findings. The study found significant relationships on perceived ease of use, perceived trust, perceived risk, perceived usefulness, social influence and user intention. No significant relationship was found between facilitating conditions and user intention. The study recommends that MNOs design mobile money systems that are user-friendly and simple to use. Furthermore, MNOs and mobile money agents can offer value added services to attract more consumers to use their services.
- Full Text:
- Date Issued: 2019
The effects of managerial competencies on the performance of small and medium enterprises in Makana Municipality
- Authors: Ncube, Mercy Sibusisiwe
- Date: 2019
- Subjects: Performance -- Management Small business -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13837 , vital:39716
- Description: Small and Medium Enterprises (SMEs) play a significant role in economic development, poverty alleviation and employment creation in most developing countries. The primary objective of this study was to investigate the effects of managerial competencies on the performance of SMEs in Makana Municipality. The secondary objectives of this study were to ascertain the effect of teamwork competencies on the performance SMEs, to establish the effect of global awareness competencies on the performance of SMEs, to investigate the effect of strategic action competencies on the performance of SMEs, to establish the effect of selfmanagement competencies on the performance of SMEs, and to establish the effect of communication competencies on the performance of SMEs. The study followed a quantitative research approach. Data was collected using survey method by way of self-administered questionnaires, which were distributed to a sample of 96 SMEs’ owners and managers in Makana Municipality. It was found that communication competencies, planning competencies, self-management competencies, and global awareness competencies have an effect on the performance of the SMEs in Makana Municipality. However, teamwork competencies and strategic action competencies did not show any effect on the performance of SMEs in Makana Municipality. The study concluded that managerial competencies have an effect on the performance of SMEs. Recommendations were provided to the government, local municipality as well as to the SME owners and managers.
- Full Text:
- Date Issued: 2019
- Authors: Ncube, Mercy Sibusisiwe
- Date: 2019
- Subjects: Performance -- Management Small business -- South Africa -- Eastern Cape
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13837 , vital:39716
- Description: Small and Medium Enterprises (SMEs) play a significant role in economic development, poverty alleviation and employment creation in most developing countries. The primary objective of this study was to investigate the effects of managerial competencies on the performance of SMEs in Makana Municipality. The secondary objectives of this study were to ascertain the effect of teamwork competencies on the performance SMEs, to establish the effect of global awareness competencies on the performance of SMEs, to investigate the effect of strategic action competencies on the performance of SMEs, to establish the effect of selfmanagement competencies on the performance of SMEs, and to establish the effect of communication competencies on the performance of SMEs. The study followed a quantitative research approach. Data was collected using survey method by way of self-administered questionnaires, which were distributed to a sample of 96 SMEs’ owners and managers in Makana Municipality. It was found that communication competencies, planning competencies, self-management competencies, and global awareness competencies have an effect on the performance of the SMEs in Makana Municipality. However, teamwork competencies and strategic action competencies did not show any effect on the performance of SMEs in Makana Municipality. The study concluded that managerial competencies have an effect on the performance of SMEs. Recommendations were provided to the government, local municipality as well as to the SME owners and managers.
- Full Text:
- Date Issued: 2019
Social Media Conspicuous Consumptive Behaviour and Consumers’ Purchase Intentions of Luxury Goods
- Authors: Madzunya, Ntsundeni
- Date: 2018
- Subjects: Consumer behavior -- South Africa Social media -- Marketing
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13524 , vital:39676
- Description: Social media has grown to such a large extent that it has become a primary source of information among consumers online. The impact of the growth of popular social media sites such as Facebook and Instagram have allowed for interest in consumer online behaviour to increase. There is no specific social media model that can be used as a tool to understand its use and influence on conspicuous online consumption behaviour. The study aimed to develop and apply a model used to understand consumer behaviour in order to enhance the use of the communication landscape as a means to drive purchase intentions. Therefore, the purpose of this study was to investigate the effects of social media conspicuous consumptive behaviour on intention to purchase luxury goods. The primary objective of this study was to examine the effect of conspicuous consumptive behaviour facilitated by Instagram and Facebook on potential buyers’ intention to purchase luxury goods. The study also determined if Instagram and Facebook usage intensity has an influence on conspicuous consumptive behaviour. In addition, the study also examined the relationship between Instagram and Facebook eWOM credibility and conspicuous consumptive behaviour. The study was underpinned by a positivist paradigm, a quantitative approach and the appropriate descriptive research design. Data was collected from both primary and secondary sources. An online survey was conducted to collect primary data, through the use of a questionnaire developed from previous studies. The questionnaire was administered online through the Survey Monkey platform to a total of 364 respondents. Analysis and interpretation of findings was done using both the descriptive and inferential statistical measures, with the help of Statistical Package for Social Scientists (SPSS) 24 and Lisrel (version 9). The scales adopted for the study consisted of eight constructs, Instagram usage intensity, Instagram eWOM credibility, Instagram conspicuous consumptive behaviour, Instagram intention to purchase luxury goods, Facebook usage intensity, Facebook eWOM credibility, Facebook conspicuous consumptive behaviour, Facebook intention to purchase luxury goods. All the scales used in this study were found to be reliable and valid. ii Based on the 364 responses, the study found a positive relationship between both Facebook and Instagram usage intensity and conspicuous consumptive behaviour. Conversely, results showed that eWOM credibility on both Facebook and Instagram had no relationship with conspicuous consumptive behaviour. Lastly, Instagram conspicuous consumptive behaviour had a positive relationship with the intention to purchase luxury goods. A similar finding was found for Facebook conspicuous consumptive behaviour and the intention to purchase luxury goods. Luxury marketers are encouraged to formulate social media strategies that emphasise consumer involvement, engagement and trust; this, in turn, will increase total social media usage and influence. However, further research may want to include other popular social media platforms, such as Twitter and WhatsApp, to gain a wider understanding of the effect of social media conspicuous consumptive behaviour on intention to purchase luxury goods.
- Full Text:
- Date Issued: 2018
- Authors: Madzunya, Ntsundeni
- Date: 2018
- Subjects: Consumer behavior -- South Africa Social media -- Marketing
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13524 , vital:39676
- Description: Social media has grown to such a large extent that it has become a primary source of information among consumers online. The impact of the growth of popular social media sites such as Facebook and Instagram have allowed for interest in consumer online behaviour to increase. There is no specific social media model that can be used as a tool to understand its use and influence on conspicuous online consumption behaviour. The study aimed to develop and apply a model used to understand consumer behaviour in order to enhance the use of the communication landscape as a means to drive purchase intentions. Therefore, the purpose of this study was to investigate the effects of social media conspicuous consumptive behaviour on intention to purchase luxury goods. The primary objective of this study was to examine the effect of conspicuous consumptive behaviour facilitated by Instagram and Facebook on potential buyers’ intention to purchase luxury goods. The study also determined if Instagram and Facebook usage intensity has an influence on conspicuous consumptive behaviour. In addition, the study also examined the relationship between Instagram and Facebook eWOM credibility and conspicuous consumptive behaviour. The study was underpinned by a positivist paradigm, a quantitative approach and the appropriate descriptive research design. Data was collected from both primary and secondary sources. An online survey was conducted to collect primary data, through the use of a questionnaire developed from previous studies. The questionnaire was administered online through the Survey Monkey platform to a total of 364 respondents. Analysis and interpretation of findings was done using both the descriptive and inferential statistical measures, with the help of Statistical Package for Social Scientists (SPSS) 24 and Lisrel (version 9). The scales adopted for the study consisted of eight constructs, Instagram usage intensity, Instagram eWOM credibility, Instagram conspicuous consumptive behaviour, Instagram intention to purchase luxury goods, Facebook usage intensity, Facebook eWOM credibility, Facebook conspicuous consumptive behaviour, Facebook intention to purchase luxury goods. All the scales used in this study were found to be reliable and valid. ii Based on the 364 responses, the study found a positive relationship between both Facebook and Instagram usage intensity and conspicuous consumptive behaviour. Conversely, results showed that eWOM credibility on both Facebook and Instagram had no relationship with conspicuous consumptive behaviour. Lastly, Instagram conspicuous consumptive behaviour had a positive relationship with the intention to purchase luxury goods. A similar finding was found for Facebook conspicuous consumptive behaviour and the intention to purchase luxury goods. Luxury marketers are encouraged to formulate social media strategies that emphasise consumer involvement, engagement and trust; this, in turn, will increase total social media usage and influence. However, further research may want to include other popular social media platforms, such as Twitter and WhatsApp, to gain a wider understanding of the effect of social media conspicuous consumptive behaviour on intention to purchase luxury goods.
- Full Text:
- Date Issued: 2018
Local versus international celebrity endorsement credibility and consumer purchase intentions in the cosmetic industry
- Authors: Nyamakanga,Nyarai Faith
- Date: 2017
- Subjects: Consumer behavior -- South Africa -- Eastern Cape Purchasing
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13891 , vital:39724
- Description: In order for a firm to create and improve the image of its product or services, celebrity endorsement is considered to be a highly effective tool which can influence consumer behaviour. This is evident in the increasing number of marketers who are harnessing the power of celebrities to endorse their products. However, for endorsement to be successful the celebrity endorsers must be viewed as credible by consumers. It has been shown that there are three dimensions that determine the level of credibility in celebrity endorsements: trustworthiness, expertise and attractiveness. The purpose of this study was to analyse the effect of the credibility of local versus international celebrity endorsement in advertising on consumers’ intention to purchase cosmetic products in a South African (SA) context. This study focused on the cosmetic industry as it is an industry that relies heavily on endorsement to advertise and attract consumers to purchase products. Firms in this industry need to be aware of the criteria when selecting celebrity endorsers such as whether to hire an international or local celebrity as brand representatives. Thus, the researcher aimed to determine whether there is a difference in terms of credibility between local and international celebrity endorsers as viewed by SA consumers with respect to the cosmetic industry. The credibility of the celebrities was rated using the credibility scale developed by Ohanian (1990). The credibility scale rates the credibility of celebrities using the three factors of attractiveness, trustworthiness and expertise. Two models were proposed for the study, one testing the credibility of local endorsers whilst the other testing the credibility of international endorsers. These dimensions were hypothetically by the researcher to determine their effect on consumer purchase intention. To hypothetically test the dimensions, a quantitative approach and design were used as methods of gathering and analysing data. A total of 237 selfadministered questionnaires were distributed at a University in the Eastern Cape (EC). Analysis and interpretation of findings was done using the descriptive statistical measures with the help of Statistical Package for Social Scientists. The inferential statistics were analysed using the multiple regression analysis. Multiple regression analysis was used to analyse the statistical significance of the model, which was found to be statistically significant for both models. The regression coefficients where then used to determine the strength of the relationship between the independent variables and the dependent variable for each model. iii The study concluded that consumers perceive both local and international celebrity endorsers as credible and are influenced to purchase cosmetics products because of perceived credibility. The data analysis showed that local celebrity endorsers are perceived as more credible than international celebrity endorsers within the context of marketing cosmetic products in the South African industry. This means that consumers can be easily persuaded to purchase cosmetics products when marketed using locally based celebrity endorsers. The outcome of the research informatively helps managers to carefully select the endorser that will be able to create awareness, attract and retain loyal consumers through the advertisement. Inasmuch as marketers have to endorse local celebrities, it is also safe for them to consider international celebrity endorsers as their credibility to a lesser extent influences consumers to purchase products. However, marketers need to define and determine the target market, and select an endorser that aligns with the characteristics of the market. One of the study’s objectives was to test which of the three dimensions mentioned earlier had a stronger impact on consumer’s intention to purchase for both local and international endorsers. The attractiveness dimension indicated a much stronger influence on consumer purchase intention in comparison to the other dimensions for local celebrities and was found to be statistically significant. As the cosmetic industry is a beauty industry, it is recommended that firms in the industry use local attractive endorsers to market the cosmetic products. However, the endorser must also be trustworthy as it ranks second in terms of influence to intention to purchase. On the other hand the expertise dimension in international celebrities had the highest coefficient score indicating a greater strength and influence on consumer purchase intention and was the only dimension statistically significant. It is recommended that marketers in the cosmetic industry could employ international celebrities as endorsers by considering their level of expertise and experience in the cosmetics and other industries such the fashion industry, as well as previous advertisements they would have endorsed. The trend is often for marketers to consider, select and endorse the most attractive celebrities especially in the cosmetic industry, but this research has indicated that attractiveness is not the most important dimension that marketers should be using in selecting international celebrity endorsers. If marketers within a firm have adopted international celebrity endorsement, it is recommended they use it within a target market that is less price-sensitive whereby the high prices charged can cover the endorsement costs. It was also suggested that marketers can use international celebrity endorsers with expertise when introducing new products as consumers would need a iv lot of information on the product. Local celebrity endorsers would then be used when the product has been established
- Full Text:
- Date Issued: 2017
- Authors: Nyamakanga,Nyarai Faith
- Date: 2017
- Subjects: Consumer behavior -- South Africa -- Eastern Cape Purchasing
- Language: English
- Type: Thesis , Masters , MCom (Business Management)
- Identifier: http://hdl.handle.net/10353/13891 , vital:39724
- Description: In order for a firm to create and improve the image of its product or services, celebrity endorsement is considered to be a highly effective tool which can influence consumer behaviour. This is evident in the increasing number of marketers who are harnessing the power of celebrities to endorse their products. However, for endorsement to be successful the celebrity endorsers must be viewed as credible by consumers. It has been shown that there are three dimensions that determine the level of credibility in celebrity endorsements: trustworthiness, expertise and attractiveness. The purpose of this study was to analyse the effect of the credibility of local versus international celebrity endorsement in advertising on consumers’ intention to purchase cosmetic products in a South African (SA) context. This study focused on the cosmetic industry as it is an industry that relies heavily on endorsement to advertise and attract consumers to purchase products. Firms in this industry need to be aware of the criteria when selecting celebrity endorsers such as whether to hire an international or local celebrity as brand representatives. Thus, the researcher aimed to determine whether there is a difference in terms of credibility between local and international celebrity endorsers as viewed by SA consumers with respect to the cosmetic industry. The credibility of the celebrities was rated using the credibility scale developed by Ohanian (1990). The credibility scale rates the credibility of celebrities using the three factors of attractiveness, trustworthiness and expertise. Two models were proposed for the study, one testing the credibility of local endorsers whilst the other testing the credibility of international endorsers. These dimensions were hypothetically by the researcher to determine their effect on consumer purchase intention. To hypothetically test the dimensions, a quantitative approach and design were used as methods of gathering and analysing data. A total of 237 selfadministered questionnaires were distributed at a University in the Eastern Cape (EC). Analysis and interpretation of findings was done using the descriptive statistical measures with the help of Statistical Package for Social Scientists. The inferential statistics were analysed using the multiple regression analysis. Multiple regression analysis was used to analyse the statistical significance of the model, which was found to be statistically significant for both models. The regression coefficients where then used to determine the strength of the relationship between the independent variables and the dependent variable for each model. iii The study concluded that consumers perceive both local and international celebrity endorsers as credible and are influenced to purchase cosmetics products because of perceived credibility. The data analysis showed that local celebrity endorsers are perceived as more credible than international celebrity endorsers within the context of marketing cosmetic products in the South African industry. This means that consumers can be easily persuaded to purchase cosmetics products when marketed using locally based celebrity endorsers. The outcome of the research informatively helps managers to carefully select the endorser that will be able to create awareness, attract and retain loyal consumers through the advertisement. Inasmuch as marketers have to endorse local celebrities, it is also safe for them to consider international celebrity endorsers as their credibility to a lesser extent influences consumers to purchase products. However, marketers need to define and determine the target market, and select an endorser that aligns with the characteristics of the market. One of the study’s objectives was to test which of the three dimensions mentioned earlier had a stronger impact on consumer’s intention to purchase for both local and international endorsers. The attractiveness dimension indicated a much stronger influence on consumer purchase intention in comparison to the other dimensions for local celebrities and was found to be statistically significant. As the cosmetic industry is a beauty industry, it is recommended that firms in the industry use local attractive endorsers to market the cosmetic products. However, the endorser must also be trustworthy as it ranks second in terms of influence to intention to purchase. On the other hand the expertise dimension in international celebrities had the highest coefficient score indicating a greater strength and influence on consumer purchase intention and was the only dimension statistically significant. It is recommended that marketers in the cosmetic industry could employ international celebrities as endorsers by considering their level of expertise and experience in the cosmetics and other industries such the fashion industry, as well as previous advertisements they would have endorsed. The trend is often for marketers to consider, select and endorse the most attractive celebrities especially in the cosmetic industry, but this research has indicated that attractiveness is not the most important dimension that marketers should be using in selecting international celebrity endorsers. If marketers within a firm have adopted international celebrity endorsement, it is recommended they use it within a target market that is less price-sensitive whereby the high prices charged can cover the endorsement costs. It was also suggested that marketers can use international celebrity endorsers with expertise when introducing new products as consumers would need a iv lot of information on the product. Local celebrity endorsers would then be used when the product has been established
- Full Text:
- Date Issued: 2017
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