THE IMPACT OF PERCEIVED RISK ON THE CUSTOMER’S ONLINE PURCHASING INTENTION IN HO CHI MINH CITY

Abstract

Online shopping is the new trend of buying behavior, and it is blooming in the 21st century. There is no denying that the e-commerce brings many benefits for the consumers; however, there are many existing risks in online transactions. The previous researches proved that the perceived risk is one of the important factors which impact the buying behavior in both the traditional commerce and the electronic commerce. Based on the qualitative and quantitative research method, the research tests and concludes that the perceived risk based on the perception of the consumer in Hochiminh city included the product/service risk and transaction process risk, and the perceived risk will be a negative impact on the online purchasing intention of the customer. Besides that, some managerial implications for the online business are suggested in this paper to reduce the factors of perceived risk for increasing the customer’s purchasing intention.