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E-commerce or In-store: The Preferred Fashion Shopping Store

A Research Paper

Presented to the Faculty of the

St. Dominic College of Asia

Senior High School

City of Bacoor, Cavite

In Partial Fulfilment of the Requirements for

Inquiry, Investigation, and Immersion

Submitted by:

Losito, Frances Mae G.

Villanueva, Regine Lhia A.

12 ABM- Milton Friedman

April 29, 2019


Introduction

Even before, people already have an urge to buy clothes because it is a

basic need in order to survive. Since, clothes are used mainly for protection;

people tend to consume different garments appropriate for the current

weather. As time passes by, fashion trends rose which made people see

clothing as an art aside from being a protection. Therefore, the clothing shops

followed the trend according to the people's demand. Before, the only way to

purchase clothing items is through going physically to the preferred shop to buy

what the customer wanted which basically means that he/she must be present

inside the shop to look for outfits. This has been the condition for so many years

until technology came up. Businessmen saw this as an opportunity whether to

start or expand a particular business. This resulted in online shopping stores which

are very popular nowadays. Some of well-known internationally online shops are

Zalora, Amazon, eBay, SheIn, and Wish while locally there are Shopee, Lazada,

OLX, etc.

In purchasing a product whether in online or offline, there are always a

similarities and difference that can help the consumers to their decision making.

These major differences makes a large gap between shopping in-store or online.

The consumer will more likely enjoy the shopping environment of in-store shops,

especially because he/she has the pleasure to actually see and touch the

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garment, unlike in online shops, wherein the consumer can only see the picture

of the product, check sizes, and that is it. On the other hand, marketing

communication is largely operating in the online environment, since social

media plays a big role in it unlike in physical stores, where marketing

communication is limited to the people walking in or walking around the area

where the store is located. YouTube is an example of a mode of marketing

communication nowadays. Fashion shops sponsor YouTubers or people who

make vlogs (video blogs), send them their items, for them to make videos about

the products and encourage their subscribers to buy the products.

People nowadays are very conscious of their looks, especially the young

generation. Since, the main targets of fashion markets are usually the group of

generation Z (PAAKKARI, 2016). Thus, the goal of this research is to provide

current information about the preferred fashion store of grade 12 ABM students

of St. Dominic College of Asia, which is also part of generation Z. Moreover,

identify which fashion store is more likely beneficial to this generation.

Considering that they are prone to shopping more, and they are the target of

the market.

However, the participants or as mentioned generation Z, are not generally

into fashion trends. There could be some participants who are not a fan of either

shopping in-store or e-commerce. Also, it is possible that both methods of

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shopping will be supported equally. Since, there is still an ongoing competition

between traditional and online fashion shops.

Nonetheless, clothing items are basic needs of a person, which basically means

that everyone is directly related to it. Furthermore, fashion trends are very trendy

nowadays, and it is a great influence to the young generation.

This study intends to discover which among the e-commerce and in-store

is the most preferred shopping store of grade 12 ABM students in buying fashion

items.

The students of grade 12 ABM of St. Dominic College of Asia prefer the in-

store method of shopping in buying fashion items more than the online method

of shopping despite of its continuous growth throughout the years.

This study aims to determine the preferred shopping store of grade 12

Accountancy, Business, Management (ABM) students, whether in-store or e-

commerce. The sample of the research covers 30% of the population, or

approximately forty-two (42) senior high school students of St. Dominic College

of Asia. The main objective of the study is to discover what method of shopping

is favourable to the respondents, and which technique is convenient for them as

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students. The study conducted in St. Dominic College of Asia through the form of

survey questionnaires that will include relevant questions.

Research Question

This study intend to discover which among the e-commerce and in-store is the

most preferred shopping store of grade 12 ABM students in buying fashion items.

This research answers the following questions:

1. Where is the preferred shopping store of grade 12 ABM students in terms

of age and gender?

2. What is the most used shopping store of grade 12 ABM students?

3. What are the qualities that grade 12 ABM students value the most on

purchasing in Online Shops and In-Store?

Research Hypothesis

The researchers hypothesized this study that, the students still preferred the

in-store on buying fashion items. Consumers still want to physically examine the

product before they buy it regardless of the progress of technology these days.

Significance of the Study

Future researchers

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This study will benefit the future researcher that will investigate further on

the same or relevant topic. It will also be a sort of guide for them to have ideas

based on the matter they want to discover as long as the information included

in the research is connected to their study. The result of the study could also be

a basis or a source of view on the particular choice of shopping store of the

subjects. Moreover, they could also fill in the gap which the current research did

not cover due to further updates regarding the fashion industry in the future.

The researchers

The finding of this study will be useful to the researcher since they are also

a partaker on consuming or purchasing fashion products in both in-store and e-

commerce. It will also be a source of new information that will add up to the

researchers’ knowledge. As consumers, it will give them an idea on where, in

particular, is the best fashion shop (e-commerce or in-store), to buy any fashion

related products.

Current fashion shop owner

The current fashion shop owners will be the biggest user of the advantage

since they are already engaging in the business world of fashion industry, and

so, this research would extend awareness to the owners on their innovations or

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when they formulate strategies regarding their operations to increase their

profitability. Especially because, the subjects of the research are students which

are the common people who loves to shop.

Potential fashion shop owner

The ideas presented in this study will enable the potential fashion shop

owners to decide on what type of fashion store will he/she put up having the

considerations present in the result or conclusion of the study. They will also have

the benefit of taking into account the advantages and disadvantages at hand

depending on the type of store they desire to build.

Consumers

The result of this study will be useful for the consumers in choosing the right

shopping store for buying their fashion stuffs. This paper can also give consumers

more knowledge about the current trend in buying fashion items that new

generation find more convenient, cheap and secure. It is important for the

consumer, especially for those who are really into fashion, to be aware on the

latest fashion trend as well as the fashion store that can provide low cost yet

high quality materials and serves the customer to buy with ease and without

remorse.

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Scope and delimitation

This study aims to determine the preferred shopping store of grade 12

Accountancy, Business, Management (ABM) students, whether in-store or e-

commerce. The subjects of the research will cover 50% of the population, or

exactly forty-two (42) senior high school students of St. Dominic College of Asia.

The main objective of the study is to discover what method of shopping is

favourable to the respondents, and which technique is convenient for them as

students. The study will be conducted in St. Dominic College of Asia through the

form of survey questionnaires that will include relevant questions.

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Review of Related Literature

In this section, different previous studies are presented as a support to

growing body of research. These given literatures provide broad understanding

concerning to the subject of this study.

The goal of online fashion shoppers is to look for clothing items that would

enable them to look and feel better despite of not seeing it in personal. And this

requires that all photos and pictures present are flattering, clear, and

informative.Especially when selling fashion online, there should be multiple

photos of each item from all angles (back and front). A zoom feature should

also be involved on the page for clear viewing (Maven, n.d.). Currently, the

most affected group for this kind of influence is the young generation. Gupta

(2015) have conducted a quantitative study. This study examined the sex,

castes, age, qualification, group, preference shopping site, most purchase

goods, and etcetera of its respondents. The data was collected from 150

individuals of Rourkela in the city of Odisha, India. The results show that the most

number of gender that into shopping was female. While the group that gives the

largest part of income of online site came from the group of students. And this

aligns also to the majority of costumer’s age between 18-25 years old that use

online shopping. The said group of people, which is a part of millennial, is known

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in patronizing the sense of fashion styling; which resulted as the higher rate of

what consumer purchased on online store.

Understanding why shoppers choose a specific channel for purchases can help

businesses better address the needs of their customers (Kuczwara, 2017). The

advancement of technology gives consumer another option of buying fashion

items such as online shopping.

According to Newsbytes.ph (2015) “The Philippines has an Internet

penetration rate of 39 percent; and e-commerce engagement is on the rise

compared to countries with similar Internet penetration.” Moreover, the top

reasons of the Filipinos’ of shopping online is also stated there, namely

convenience (52 percent), door-to-door delivery (30 percent), affordability (10

percent), and accessibility (8 percent). Also, the design, usability, content and

customization all require significant attention for a store to deliver a rich,

immersive and intuitive online experience (Maven, n.d.).

The introduction of internet as well as smartphones became an extension

of one’s personalities. These innovations have empowered customers to access

any information they seek for. Thus, online shopping cameto be an option as a

preferred fashion shopping store. Some of the reasons of a successful movement

towards online adaptation are as follows: busy schedules, time crunch,

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convenience, and competitive discounts.Undoubtedly, digitalization has made

our lives convenient (Khandelwal, 2018).

E-Commerce in the Philippines is thriving especially now with availability

of friendly payment systems (Toral, 2017). Online store offers a lot of options for

their costumers’ preferred payment process. Nordmeyer (2017) acknowledged

that one of these is through the use credit cards payments for the product they

select in the product catalog of web shops. This product catalog is where

consumer can order goods make payments access customer service, provide

feedback and perform other function.

In the study of Islam, Jafar, &Khan (2014), mentioned in the study of Adrita,

Shahjahan, &Ummul (2016), they addressed that E-commerce was where the

seller and buyers transaction makes easier and convenient given that the

consumer’s physical presence is not necessary to buy the product from distant

place. Retailers catch customer excitement andsensations throughhigh-

standard and high-resolution visuals.

There are some fantastic benefits to selling online that get the interest of

the entrepreneur to apply it on operation of their business. Starting an online

store comes with considerably lower capital costs in comparison to a traditional

physical or brick and mortar store. This includes the benefit of not needing to

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pay for a large area and the other costs that can require. For this reason, one

can start an online store quickly, with less capital investment.The powerful tool is

the internationalization process that offers by the internet and online channels

due to lack of physical liability, information gaps, and operational threats

(Bernal, Guercini, & Prentice, 2018).

Customers also appreciate the convenience of e-commerce. The ability

to enjoy shopping from the comfort of one’s home without direct sales pressure,

and with the ability to look through in your own time makes the process much

more interesting to some customers. Then having products delivered straight to

their door, within a few days and even at a time to suit the customer, can be

even more attractive (Shackleton, 2016).A lot of consumers are also pointing out

to the difficulties facedin shopping in a store, such as standing and waiting in

line or dealing with the public, as a reason they go to an online retailer.

Online shopping indeed offers a lot of benefit to consumers though there

are still a lot of things that cause of not patronizing by the costumer, such thing

like the lack of trust; which is also the most commonly cited basis on why

consumers do not buy online (Jubayer, 2015). Another, it is also more difficult to

build meaningful interactions with your customers as there’s no face to face

interaction. (Shackleton, 2016). Some consumers trying out online shopping got

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along with some troubles in using it on the process. In the study of

Adrita,Shahjahan, &Ummul (2016) in Bangladesh tackled the barriers of

consumer in buying goods through the use of internet, and these are “fair price,

trust, delivery methods, and payment methods”. Also, the uncertainty of

shipping cost in purchasing online goods which involves the weight of the

product, the distance of the recipient, and other criteria, contributes to the

negative side of online shopping.

There is also a study that in-store is much better than online shops in terms

of purchasing products. Physical store appears the high advantage compared

to web shops since it bid the shopping experience of the costumers (Store of the

future, 2016) cited on the study of Moes and Van Vliet (2017). The advantages of

offline retail are well cemented. It stated there that offline retail still remains the

most popular shopping channel for consumers and can’t currently be matched

by online when it comes to customer experience. With a traditional bricks-and-

mortar store, you can craft a unique experience for your customers and express

your brand in a creative way.(Shackleton, 2016). Regardless of demographic,

the biggest reason cited by some surveyed was the ability to see, feel and try

out the item they were looking to purchase (Kuczwara, 2017). A consumer has a

chance to try out or check first the product before buying it because some

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physical store business offers free trial of their product to their potential

costumer.

While immediate gratification may also drive consumers to a physical

store, convenience is what frequently draws them to online shopping

(Kuczwara, 2017). Aside of that, there are other thing that also cause of

choosing online shopping than going to stores. In the statement of Cision PR

Newswire (2017) shows what consumers like least about in-store shopping. And,

that it is too time consuming with long-wait times to check out or return

merchandise. Other disadvantages reported include difficulty in finding the right

sizes, desired styles, specific colors, and travel time to and from the store. For the

potential entrepreneurs, building in-store business has a lot of disadvantages as

a novice person to the business industry. Traditional stores generally have higher

running costs than online retailers, with electricity, water, rent and more to pay

for every month.(Shackleton, T. 2016)

Moes and Van Vliet (2017) cited in their study, in their previous study (Moes

and Van Vliet , 2015) the differences of advantages between online shops and

in-store. First, it said there that e-commerce has the capability to gain a lot of

costumers because of its wide-reaching, and beside of being convenient it also

offer a 24/7 availability for their costumer to check out the available products

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they have. Online shopping also gives a lot of generous discount for their

costumer through voucher codes. In the statement of Ms.MacMillan, she stated

that, "Today's consumers want personalized experiences when shopping and

retailers need to blend technology and service to meet their needs," and "A

simple add on may be the ability to select clothes online and reserve a dressing

room – saving time and creating a new shopping experience." (Cision PR

Newswire, 2017). On the other hand, Moes and Van Vliet (2017) cited in their

current study that physical stores can offer a personal communication between

the seller and consumer that can make a strong relationship between the two.

The product sold can take home instantly as well as the payments that can

receive by the seller directly to their equity. In addition, it also gives personal

experience of the service that business offers which can also lead for businesses

to build up some loyal costumer for their brand (Moes and Van Vliet, 2017).

The two shopping channels may have differ in benefit that can get by the

consumer, there are studies proven that it is still better when both of these are

use in the business. “As e-commerce gains traction in the country, online retailers

are also investing in brick and mortar stores to allow consumers to try their

products.” Philippine Retailers Association vice chairman Frederick Go said in an

interview posted on marketing mentor Josiah Go's website (ABS-CBN News,

2018). Also, in-store shoppers proceed to using their phones to check prices of a

certain product before making a purchase. Two-thirds of brick-and-mortar

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consumers will check prices for an item on their mobile devices before making a

purchase in the store.(Kuczwara, 2017).

Woodford (2018) explained that either e-commerce or in-store business is

both land to the main basis of business, such as the transaction. The basic trade

that most of all did every day, the exchange of goods or/and service over a

right amount of money. “It works in a similar way if you're buying online, but

there's one important difference: you never actually get to handle (or even see)

the goods until they arrive at your home sometime later.”as Woodford (2018)

mentioned.

According to Cao (2018) even though online stores became in demand

this days, there are still steadiness in operating physical store business. E-

commerce and in-store business has its own strengths and weaknesses due to

their differences in segment of marketing. This study shows that the two different

medium of selling is balance in a way that they supporting each other by

having a different roles in selling product. Business owners can use the benefit of

internet to become practical in promoting their business through social media.

In that way, proprietors can saves a lot of money for advertisement at the same

time there is a high potential to get a large number of costumer. On the other

hand, physical store is still important to the business because it serves as the

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main location of online business and also this is where customers can pick up

their orders or to have a physical interaction between owners and consumers.

Synthesis

In this review, nineteen recent studies has been observed by the researchers.

These literatures are published from the year 2013 to 2018, but one of those

published date is unknown. Every cited studies gives information and

argumentsregards e-commerce and in-store. The chosen studies are combined

local and foreign works. To sum it up, these studies will help widen the

understanding in fashion, online and offline businesses. It provides the

advantages and disadvantages of each. In addition, the studies presented the

relationship between in-store and ecommerce.

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Methods of Research and Procedures

Method of Research

This section explained the methods of the research, consisting of the (1)

Research Locale, (2) Sampling Method, (3) Instrumentation, and (4) Procedure

will be shown.

The research used a descriptive design of research. The independent

variable was in-store or e-commerce while the dependent variable was their

preferred shopping store.

Research Locale

This research was conducted in St. Dominic College of Asia, located in

Emilio Aguinaldo Highway, Bacoor City, 4102 Cavite. The College traces its roots

with the establishment of the St. Dominic Medical Center (SDMC) in 1991 by

founders Don Gregorio and Dona Dominga Andaman.

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Methods of Collecting Data and Development of the Research Instrument

Since the study is a quantitative type of research, the researchers used

the questionnaire method of collecting data. Survey questionnaire was a well-

known method of gathering the data needed for quantitative study because of

the large number of participants. This questionnaire contains a set of questions

that measured the preferred shopping store of grade 12 ABM students of St.

Dominic College of Asia.

Instrumentation

The instrument that was used for the research is a questionnaire, as stated

above. The researchers made a questionnaire inspired to a standard

questionnaire from a study of Cao (2018), The growth of e-commerce and its

impact on the fast fashion retailers, only, some questions will be removed as they

are not connected to the current study and some questions were added. Also,

the researchers used printed questionnaires.

Sampling Method (SIMPLE RANDOM SAMPLING)

The participants of the research are the grade 12 ABM students. The

sample covered by 42 students, equally divided to 21 girls and 21 boys. They

were selected through random sampling technique. They were randomly

picked. Every single student was given the same probability of chance to be a

participant of the research.

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Procedures

The researchers started by making printed questionnaires through the use

of Microsoft Word, distributed it to the participants in accordance to the specific

number of student per section, also considering the equal number of male and

female participants, and gathered the data.

PRESENTATION AND ANALYSIS OF DATA

This section presents the findings, analysis, and interpretation of the data

gathered from the experiments.

Legend

Strongly Disagree – 1-1.49

Disagree – 1.5-2.49

Agree – 2.5-3.49

Strongly Agree – 3.5-4

Profile of Respondents According


to Grade Level and Strand

33% 34% 12 - Milton Friedman


12 - Alfred Marshall
12 - Thomas Cook
33%

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The respondents of the research are 42 in total. There are 14 respondents

per group, equally divided to three sections. 14 respondents from Milton

Friedman, 14 respondents from Alfred Marshall, and 14 respondents from Thomas

Cook.

Profile of Respondents According to


Age

16-17
52% 48%
18-19

This pie chart shows the profile of respondents in accordance to their age.

It is shown that the group of 18-19 years old covers the majority of the

respondents which is 22 and is equivalent to 52%, followed by 20 participants in

the group of 16-17 years old which covers 48%.

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Profile of Respondents
According to Gender

Male
50% 50%
Female

This pie chart shows the profile of respondents in accordance to their gender. It

is shown that there are 21 male respondents which covers 50% and 21 female

respondents which covers 50% as well.

Table 1.1 Preferred Shopping Store of the Respondents in terms of Age

Shopping Store Age Frequency Percentage

16-17 3 15%
Online Shops
18-19 4 18%

16-17 17 85%
In-Store Shops
18-19 18 82%

Table 1.1 shows the preferred shopping store of the respondents in terms of age.

According to the table, 3 of the total number of participants with age ranging

from 16-17 prefers to do most of their shopping online, which covers 15% while

17 of them, covering the remaining 85%, prefers to shop in-store. On the other

hand 4 of the total number of participants with age ranging from 18-19 prefers

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to do most of their shopping online, which covers 18% while 18 of them,

covering the remaining 82%, prefers to shop in-store.

Table 1.2 Preferred Shopping Store of the Respondents in terms of Gender

Shopping Store Gender Frequency Percentage

Male 5 24%
Online Shops
Female 2 10%

Male 16 76%
In-Store Shops
Female 19 90%

Table 1.2 shows the preferred shopping store of the respondents in terms of

gender. According to the table, 5 male participants which covers 24% of the

total male participants prefers to do most of their shopping online while 16 of

them, covering the remaining 76%, prefers to shop in-store. On the other hand, 2

female participants which covers 10% prefers to do most of their shopping online

while 19 of them, covering the remaining 90% , prefers to shop in-store.

Table 2.1 The Frequency of the Respondents in Shopping Online

4 – 3 – Often 2 – 1 - Never Total

Always Sometimes

Online 6 14 13 9 42

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Shopping 24 42 26 9 101

Percentage 14% 33% 31% 21% 100%

Table 2.1 shows the frequency of the respondents in shopping online. 14, which

is the majority answered often, covering 33%. Next is 13 who answered

sometimes, covering 31%. Third is 9 who answered never, covering 21%. Lastly, 6

who answered always, covering 14% of the total number of respondents.

Table 2.2 The Frequency of the Respondents in Shopping In-store

4 – Always 3 – Often 2 – 1 - Never Total

Sometimes

In-store 24 13 5 0 42

Shopping 96 39 10 0 145

Percentage 57% 31% 12% 0% 100%

Table 2.2 shows the frequency of the respondents in shopping in-store. 24, which

is the majority answered always, covering 57%. Next is 13 who answered often,

covering 31%. Third is 5 who answered sometimes, covering 12% of the total

number of respondents. While there are no one who answered never.

Table 2.3 Frequency of Online and In-store shopping of the Respondents

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Mean Interpretation

Online Shopping 2.4 Sometimes

In-store Shopping 3.5 Always

Table 2.3 shows the frequency of shopping online and in-store of the

respondents. It is shown in the table the mean of online shopping is equivalent to

2.4, with an interpretation of sometimes while the mean of the in-store shopping

is 3.5, with an interpretation of always.

Table 3. The Qualities Respondents Value When Shopping Online

Mean Interpretation

Online stores are accessible. 3.31 Agree

Online fashion websites are easy to 3.05 Agree

navigate.

Money is valued in accordance to the 3.26 Agree

quality of the products.

Products are promoted well. 3.10 Agree

Products are delivered immediately. 2.81 Agree

Shipping cost is affordable and reasonable. 2.67 Agree

The return process is easy and fast. 2.60 Agree

The products’ fit based on the sizes and 2.71 Agree

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measurements presented.

Stocks are available for all sizes. 2.69 Agree

Seller/store manager cater the questions of 3.07 Agree

the buyer.

Brands are well known and reliable. 3.19 Agree

There is a large product range. 3.17 Agree

Table 3 shows the qualities respondents value when shopping online. The mean

of all the answers of the respondents resulted to an interpretation of agree.

Table 4. The Qualities Respondents Value When Shopping In-store

Mean Interpretation

Store Location is accessible. 3.45 Agree

Customer service is evident. 3.29 Agree

Hands-on interaction with the products. 3.45 Agree

Promotion of the products can only be 2.88 Agree

done in-store

Products bought can be directly brought 3.26 Agree

home.

There is no applied shipping cost. 3.26 Agree

The returns process is easy and fast. 3.26 Agree

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There is a space for fitting the products. 3.45 Agree

Stocks are available for all sizes. 3.05 Agree

Staff has enough knowledge about the 3.40 Agree

products.

Brands are well known and reliable. 3.40 Agree

There is a large product range. 3.38 Agree

Table 4 shows the qualities respondents value when shopping in-store. The mean

of all the answers of the respondents resulted to an interpretation of agree.

IV. Discussion

This section entails to describe the significance of the main finding of what

the research being examined.

The total respondents are divided in terms of their age and gender. The

ages 16-17 years old got the forty-eight (48%) of the total respondents, while the

group of 18-19 years old got the remaining fifty-two (52%). There are fifteen

percent (15%) of ages ranging from 16-17 that preferred online shops and the

other 85% of the participants preferred the In-store. On the other hand, the

participants from 18-19 years of age has 18% that prefers to purchase online,

and the remaining 82% covers by the respondents who choose to shop in In-

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store over online shops. In terms of gender, there are equal number of

percentage in both males and females. The 76% of the male respondents

preferred to do most of their fashion shopping in In-store rather than online shops

which only covers the 24% of the total male respondents. However, there are

90% from female respondents preferred the In-store and only 10% of them

choose the online shopping.

Overall, there are 33% of the respondents often purchase in online, 31%

said sometimes, 21% respondents answered never, and the remaining 14%

answered always. Meanwhile, there are 57% favourable in In-store shopping,

31% respondents often do most of their fashion shopping in bricks and mortar ,

and the last 12% of the respondents answer sometimes.

In general, the In-store has 3.5 averages with an interpretation of always,

while the online shops only got the 2.4 average that includes in the

interpretation of sometimes. Lastly, both In-store and bricks and mortar got an

interpretation of ‘Agree’ in terms of the qualities that participants value the most

when purchasing in the given shop.

V. Conclusion

Based on the finding of this study, the researchers conclude that the

Bricks and mortar are still the best way to put up a fashion related business.

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According to the result, both ages ranging from 16-17 and 18-19 preferred the

In-store than online shops. This is also the outcome in terms gender of the

respondents, the majority of both male and female prefer to do their fashion

shopping in In-store instead of using online shops. In relation to that, most of the

participants do their fashion shopping in bricks and mortar where they can

physically examine the fit and quality of the product. However, even though the

finding is clearly show that In-store is still the most relevant when purchasing

fashion products; the findings in terms of the qualities that respondents value the

most on shopping in In-store and online shops are both got an interpretation of

‘Agree’. This basically means that even though the most of the respondents is

preferred to purchase in bricks and mortar, their views about the benefits that In-

store and online shops are still the same. Lastly, the researchers conclude that

the availability and advantages of In-store is the most essential thing for the

chosen respondents.

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