DETERMINATION OF EXPECTED BENEFITS OF SOCIAL COMMERCE: AN EMPIRICAL ANALYSIS ON RETAIL STORES

Abstract

Consumers have experienced a new concept known as social commerce that combines operating field of e-trade with the consumers’ social interaction. This new concept is defined as a new method of e-trade supporting online social interaction due to its widely usage of social media instruments. Companies being aware of the important effects of social media on consumers focus on social commerce applications in order to respond technologically changed consumption habits. Though there exists a vast literature on determination of the factors affecting consumers’ social commerce adoption, number of studies on the factors affecting adoption of social commerce by business managers is so limited. 

This study aims to determine the factors that affect the adoption of social commerce applications by retail stores and to test of these factors’ effects on social commerce benefits for retail stores. Accordingly, the sample size of 172 retail stores has been selected for the study. These retail stores are located in one of the big shopping centers in Ankara and İzmir. The results reveal that system quality, competitor and stakeholder pressure positively affect retailer’s perception on social commerce benefits, whereas organizational restrictions have negative effects.