Chapter 1-3 Final Draft
Chapter 1-3 Final Draft
Chapter 1-3 Final Draft
Introduction
consumers today on a certain business lies on online shopping mostly with the young
consumers such as students and teenagers. In this research, we will be talking about
the trust and confidence of online consumers when it comes to purchasing online
products. In this study, the researchers have outlined and categorized the standard
which purchasing bases are the most are the most influential factor to the Filipino
consumers when finalizing a product purchase in Shopee and Lazada. After that, the
researchers conducted an online survey to gather data required for the research.
Consumers-Filipinos are very picky when shopping, and they usually base their
purchases on their needs and wants. Considering the situation today, unemployment
and economic disparity will be prevalent and will restrict the purchasing power of
consumers. Consumers tend to look and consult online customer reviews to assist
The researchers aim to introduce the concept and the impact of online
and communication for consumers. Additionally, the text OCRs (Online Customer
Reviews) acknowledges the importance of trust in online shopping and suggests that
understanding the impact of OCRs on trust is crucial for understanding their overall
PAGE \* MERGEFORMAT 2
influence on consumer behavior and purchasing decisions (Abdulazis Elwalda, nd).
factual statistic every business would want to know and the importance of online
while making purchase decisions (Fu et al., 2020). Most consumers spend more on
products with excellent online reviews indicating the economic value of online
reviews (Thakur, 2018). Besides, 70% of customers refer to online reviews before
finalizing their purchase decision, and 63% of customers are more likely to buy the
product if it has higher product rating and positive reviews (Rauschnabel et al., 2019;
Mcdonald, 2018). Young shoppers are the predominant group who buy online
(Lissitsa and Kol, 2016; Singh et al., 2018). A recent study posited that a younger
group of consumers looked for online reviews and agreed that online shopping was
Theoretical Framework
products online and the safety of the online consumers’ trust and legitimacy of their
shopping process.
PAGE \* MERGEFORMAT 2
Consumer decision making process
theory shields lights on the stages a consumer navigates from identifying a need to the
actual purchase and beyond. The five stages encapsulating this journey are Need
At the core of this theory is a simple premise: each stage of the process is
deeply interconnected and influences the next. For instance, the method of
Information Search may directly impact the depth and breadth of the Evaluation of
alternative evaluation. Hence, the nature of one stage has a domino effect on the
subsequent stages.
Data acquired from the five stages not only determines the purchase decision
but also forecasts future consumer behavior. For instance, the post-purchase
experience can heavily influence the consumer’s decision when they are in the market
for similar product in the future. The theory also stands on the principle of utility
maximization. This principle demonstrates the consumers will allocate their income in
a way that maximizes their overall satisfaction, subject to their budget constraint.
The theory of planned behavior also known as the theory of Reasoned action
argues that all the decisions and intentions of the consumers are not randomized and
are determined by attitude and the normative beliefs of the individuals. The attitude
PAGE \* MERGEFORMAT 2
defines how the consumers feel regarding a certain product that is marketed to them
by the marketers. These consumer attitudes are influenced by the different aspects of
their environments. For instance, given marketing strategies could trigger or incite
appropriate consumer behavior among different individuals while others can trigger
always strongly tied up to how they feel about a certain aspect of their environment or
something that they are exposed to by the marketers or to anyone trying to sell them
something. These differences in reaction in many cases are always inborn contributing
different social groups and social pressure surrounding the same individuals
(Goldenberg & Laschinger, 1991). Two very essential aspects that interact and
operate within the market environment today strongly align to the same influencers
could occur when an inconsistency exists between what an individual believes and the
eliminate this discomfort. Based on the theory, there are three main approaches to
reduce or eliminate the discomfort. First, the individual can change his or her personal
beliefs to be consistent with the information. Second, the individual can search
PAGE \* MERGEFORMAT 2
information that is consistent with his or her beliefs. Finally, the individual can ignore
the dissonance. Although Festinger suggests that the above three approaches can be
used when cognitive dissonance exists, he further argues that individuals tend to
persist in their original beliefs. Similarly, Staw and Ross found that people tend to
repeat their behaviors as a means to justify their bad decisions rather than admitting
the dissonance.
transactions on the internet are higher than those in the physical environment.
Moreover, it is argued that past online experiences could reduce concerns in high-risk
purchasing decisions and familiarity of the brand could help reduce the level of risk
In other words, an online review system could help consumers reduce the perceived
risk associated with online transactions. Since online reviews are opinions and
Conceptual Framework
PAGE \* MERGEFORMAT 2
used Input-process model. The INPUT contains the profile of the selected
respondents of the research including their age, sex, and year level. On the other hand,
the PROCESS contains the steps on how the researchers would do the research in
nothing more than making documents for the collected informations and specially
analyzing the effects of their responses to the study. The researchers provided its
Conceptual Framework for the readers for a better understanding and convenient
diagnosing.
The study was conducted to determine how the customer reviews impact the
1.1 Age
1.2 Gender
PAGE \* MERGEFORMAT 2
1.3 Weekly Students Allowance
2. What are the shopping apps that are commonly used by the respondents?
Productive Purchasing?
data collection will be conduct to 85 randomly selected students in Grrade 11of MSU-
This study will not cover other problems that are not considered as one of the
stressors and depressant. Each of the respondents is given the same questionnaires to
answer. The results of this study will be applicable only to the respondents of this
study and will not be used as a measure to the effects of depression to the academic
performance of the students who do not belong to the population of this study. The
main source of data will be the questionnaire, which is prepared by the researchers.
PAGE \* MERGEFORMAT 2
influence the online purchasing decisions of Grade 11 students in a specific context.
The study aims to fill a research gap, provide practical implications for students and
Business and Market Professionals. This study insights can be valuable for
them to target senior high school students as their consumer base. Understanding the
impact of customer reviews can help them tailor their marketing strategies, optimize
their online presence, and enhance their products or services based on the preferences
Teachers. This study can inform them in designing relevant and practical
purchasing decisions, teachers can incorporate this knowledge into subjects like
consumer studies, business, or digital literacy. This ensures that students are equipped
with the necessary skills and knowledge to navigate the online marketplace
effectively.
Parents. This study can help parents understand the importance of customer
reviews before making online purchase decisions since this can also be helpful for
parents. Understanding the impact of customer reviews can help parents in teaching
their children about the importance of customer reviews to their purchasing decisions.
Grade 11 Students. This study will provide them insights into the influence
more informed choices, consider different perspectives, and evaluate the credibility of
customer reviews. This knowledge can help students become more discerning
PAGE \* MERGEFORMAT 2
consumers in the digital age.
Future Researchers. This study can serve as a foundation for them in the
on online purchasing decisions among high school students. Future researchers can
build upon the findings of this study, expand the sample size, explore different
Definition of terms
For the better understanding of the study, the following terms were used
process refers to the sequence of steps that a person or group of people follow when
this is a process that a customer does before purchasing the goods or services he
wants.
business. Customer Reviews are a form of digital feedback customers share online
about your products and services. Customer Review websites provide customers with
the opportunity to review businesses independently (The state of Queens Land 1995-
2024). In this study, these are evaluation made by customers on the services or goods
PAGE \* MERGEFORMAT 2
Consumer Decision-Making Process (CDMP). Consumer decision making
process refers to the sequence of steps that a person or group of people follow when
this is a process that a customer does before purchasing the goods or services he
wants.
using the internet to search for information about products or services, compare
opinions, and ultimately make a purchase. (Pub Genius Inc., 2024) In this study, these
are the decisions made by online shoppers while purchasing in an online shop.
allows consumers to directly buy goods or services from a seller over the internet
using a web browser. (Encyclopedia, 2024) In this study, this is the process of
purchasing goods or services over the internet, allowing customers to make purchases
Online Shops. An online store or shop is a website, app or platform that helps
businesses sell their products or services digitally. (Builder.ai, 2024) In this study,
these are online platforms where customers can purchase goods and services they
Chapter 2
PAGE \* MERGEFORMAT 2
This chapter presents literature and studies that will help in analyzing the
students. These related literature studies are taken from both local and foreign studies.
RELATED LITERATURE
customer is a person or business that buys goods or services from another business.
Every business fights to get customers by advertising their products heavily, cutting
costs to get more customers, or making unique products and experiences that people
strategies, programs, and systems that focuses on identifying and building the loyalty
reviews to gather information and insights from others who have already bought or
used the product, helping them make informed decisions. (Publicize, 2021) Reviews
can be a form of digital feedback a customers share online about your products and
services. Review websites enable customers to formally and informally discuss and
rate your business online. (The State of Queensland, 1995-2024) However, With the
growing population of online shopping, people pay more and more attention to online
customer reviews which influence consumers' purchasing decisions. (J, Jia, 2014)
PAGE \* MERGEFORMAT 2
measure of the overall evaluation and to write a text of arbitrary length that may serve
as a justification for the rating (Lee et al., 2011; Mudambi and Schuff, 2010).
online customer products reviews are review manipulation or fraud and review
producers or any other person that holds a stake in the product or the company behind
it engage in writing online customer reviews with the aim to inflate the rating or to
improve the awareness of the product while hiding behind the identity of an
represented by the ratio of positive helpfulness votes to total helpfulness votes for a
particular review. This vote is obtained from the reader by simply asking question
whether this review was helpful or not (Mudambi and Schuff, 2010; Pan and Zhang,
2011). Because many customer review systems rank reviews according to their
Previous research suggests that more helpful reviews are more prevalent for
top selling product and that helpfulness is a signal of other customers endorsement of
the review, which translates to a more positive attitude towards the reviewer and
product (Walther et al. 2012). Extant research also suggests that consumers perceive
extreme reviews (i.e. very negative or very positive) more useful than moderately
rated reviews (Park and Nicolau 2015). Taken together, this suggests that there will be
an interaction between review valence and helpfulness in a way that positive reviews
that are perceived more helpful will exert a more positive influence than positive
reviews that are perceived less helpful. In case of negative reviews, the pattern will be
the opposite: negative reviews with a higher level of helpfulness would have a more
PAGE \* MERGEFORMAT 2
Online purchasing decisions. In terms of online shopping, consumers are
increasingly inclined to obtain product information from reviews. Compared with the
official product information provided by the sellers, reviews are provided by other
consumers who have already purchased the product via online shopping websites
(Baek et al., 2012). Through investigating the effects of review source and product
type, Bae and Lee (2011) concluded that a review from an online community is the
most credible for consumers seeking information about an established product. Since
reviews are comments from consumers’ perspectives and often describe their
experience using the product, it is easier for other consumers to accept them, thus
consumers browse online product reviews at least once a week and 93% of whom
believe that these online reviews help them to improve the accuracy of purchase
decisions, reduce the risk of loss and affect their shopping options. When it comes to
consumers read product reviews before making shopping choices, and 60% of them
refer to comments every week. Research shows that 93% of consumers say online
reviews will affect shopping choices, indicating that most consumers have the habit of
reading online reviews regularly and rely on the comments for their purchasing
the literature, much of the research has focused on the outcome and impact of online
reviews affecting purchasing decisions but has shed less light on the underlying
processes that influence customer perception (Sen and Lerman, 2007; Zhang et al.,
PAGE \* MERGEFORMAT 2
2010; Racherla and Friske, 2013).
According to a study conducted by Alwalda, A., & Lu, K. (2016) This has resulted in
there is a need to provide a review on such effects. This paper, thus examines the
latest understandings in the links and relationships between OCRs and customers'
purchase intentions. It reviews the main dimensions of the OCRs and how they affect
study has been provided in which OCRs are analyzed for a better understanding of the
limited to their personal network when it comes to sharing their experiences with a
business. With just a few clicks, they can share their feedback with the entire world
through online customer reviews. While some may see this as a double-edged sword,
there's no denying the fact that customer reviews have become a crucial component in
a business's success..
the internet have a significant impact on consumers' buying behavior. The study found
that the personal expert and trade journal were the most influential sources of
PAGE \* MERGEFORMAT 2
information for purchase decisions in the cell phone and hotel categories. This
online reviews have a significant impact on consumer purchase decisions. The study
behavior. The findings indicated that consumers rely on reviews to evaluate product
credibility and trust, and online reviews significantly influence their online retail
shopping behavior.
online purchasing decisions in older and younger adults. The study found that
younger adults considered product attributes, average consumer ratings, and affect-
rich positive or negative reviews when making purchase decisions. In contrast, older
adults were strongly influenced by negative affect-rich reviews but did not take into
account average consumer ratings or positive reviews. This suggests that older adults
RELATED STUDIES
from reviews. Compared with the official product information provided by the sellers,
reviews are provided by other consumers who have already purchased the product.
online product review and purchasing intention through the moderation role of gender
and visual attention in comments, and empirical investigation into the region of
PAGE \* MERGEFORMAT 2
interest (ROI) analysis of consumers fixation during the purchase decision process
dramatically over the years. Consequently, it has become important to understand the
consumers, businesses, platforms, and reviewers. Despite the efforts to understand the
omission in the existing research is the impact of new information provided in online
reviews.
The perception of customer reviews on online product purchasing has been the
subject of several studies. One study titled "The Impact of Online Reviews on
Chen, Premaratne Samaranayake, Xiongying Cen, Meng Qi, and Yi-Chen Lan
explores this topic (Chen et al., 2022). The study investigates the influence of online
and their behavioral analysis. The results showed that consumers pay more attention
The study also found a correlation between consumers' visual browsing behavior and
PAGE \* MERGEFORMAT 2
reviews on consumers' behavior. The researchers found that online reviews play a
accuracy of purchase decisions and reduce the risk of loss. The study also reveals that
a large percentage of consumers regularly read online reviews and rely on them for
customer reviews on purchase likelihood. The researchers found that pleasant online
unpleasant ones. The study also highlights the importance of perceived credibility and
These studies provide valuable insights into the impact of customer reviews on
online purchasing decisions and emphasize the need for businesses to pay attention to
online reviews and address negative comments to enhance the overall shopping
CHAPTER 3
This chapter presents the description of the research design, research locate,
PAGE \* MERGEFORMAT 2
research respondents, research instruments, data gathering procedure and statistical
Research Design
This study will employ a quantitative research design to investigate the impact
chosen for its ability to provide precise, measurable data that can be statistically
questionnaires, the study aims to collect numerical data from a representative sample
setting of the study. It is one of the 13 External Units of Mindanao States University
PAGE \* MERGEFORMAT 2
The Mindanao State University (MSU)- Balindong Community High School
Units. It is located at Tomarompong, Balindong, Lanao Del Sur. It was created during
the 84th meeting last June 16, 1978, the Board of Regents by adaptation of Resolution
Its initial student population was from the absorption of both Dimakuta
Memorial School and Balindong Islamic Institute by force of the same board
resolution. The school is supervised by the Office of the Assistant Vice Chancellor for
what it is today.
Currently, it offers both Junior High School and Senior High School. The
Senior High School Department offers two academic strands, namely General
Academic Strand and Accounting and Business Management. The school has three
buildings where the rooms are used as classroom, faculty and staff room, library and
laboratory.
community high school branches, one of them is the MSU-Balindong, the External
Units has a goal of providing and equipping the students with the basic knowledge,
skills, and values to grow academically, socially, and economically for the total
MINSUPALA region, the External Units envision academic excellence and the
PAGE \* MERGEFORMAT 2
Respondents of the Study
respondents of the study. The researchers will conduct a survey to 85 senior high
students as cited by VanVoorhis and Morgan (2007), the reasonable sample size for
in the study is voluntary without explanatory demands. It was also tolerated with
outmost confidentially.
Research Instruments
collect informations about the respondents’ Name, gender, age and Weekly
The researchers first will make a letter of request addressed to the School
Principal of MSU-Balindong Community High School and the Class Advisers of the
selected random students on every Class sections of senior high students. As soon as
the permission will be granted, the researchers will conduct the specified survey
PAGE \* MERGEFORMAT 2
answering them. Datas will be tallied by the researchers, tabulated and treated using
Statistical Tool
The following statistical tools will be used in the analyses of the data of the
study:
Formula:
P= x 100
Where;
P- Percentage
f- Frequency
N- Number of Recipients
100- Constant
2. Weighted Mean. This will be used to determine the level of respondents who
Formula:
Wm =
PAGE \* MERGEFORMAT 2
Where:
W= weighted value
F= frequency
PAGE \* MERGEFORMAT 2
REFERENCES LIST
Baek, H., Ahn, J., & Choi, Y. (2012). Helpfulness of online consumer reviews:
Readers’ objectives and review cues. International Journal of Electronic
Commerce, 17(2), 99-126. https://doi.org/10.2753/JEC1086-4415170204
Bae, S., & Lee, T. (2011). Product type and consumers’ perception of online
consumer reviews. Electronic Markets, 21(4), 255-266.
https://doi.org/10.1007/s12525-011-0072-0
Bennett, C. & Coleman, R. (2024). Customer definitions and their role in businesses.
Business Review Journal.
Cao, Q., Duan, W., & Gan, Q. (2011). Exploring determinants of voting for the
“helpfulness” of online user reviews: A text mining approach. Decision
Support Systems, 50(2), 511-521. https://doi.org/10.1016/j.dss.2010.11.009
Chen, T., Samaranayake, P., Cen, X., Qi, M., & Lan, Y. (2022). The impact of online
reviews on consumers’ purchasing decisions: Evidence from an eye-tracking
study. Journal of Business Research, 140, 128-138.
https://doi.org/10.1016/j.jbusres.2022.01.063
Fu, Y., Wang, Y., Wang, D., & Cheng, J. (2020). The impact of online reviews on
purchase decisions: Evidence from mobile shopping platforms. Journal of
Retailing and Consumer Services, 53, 101947.
https://doi.org/10.1016/j.jretconser.2019.101947
Guo, J., Shao, B., Zhang, Y., & Sun, Y. (2020). The impact of online customer
reviews on purchase likelihood: Evidence from a two-period model. Decision
Support Systems, 130, 113228. https://doi.org/10.1016/j.dss.2020.113228
Hasanat, M. W., Hoang, T. T., & Ren, J. (2020). The impact of online product
reviews on consumers' purchase decisions using eye-tracking technology.
Journal of Business Research, 119, 283-293.
https://doi.org/10.1016/j.jbusres.2020.02.001
Hu, N., Bose, I., Gao, Y., & Liu, L. (2011). Manipulation of online reviews: An
analysis of ratings, readability, and sentiments. Decision Support Systems,
50(3), 614-626. https://doi.org/10.1016/j.dss.2010.08.020
PAGE \* MERGEFORMAT 2
Lackermair, G., Kailer, D., & Kanmaz, K. (2013). Importance of online product
reviews from a consumer’s perspective. Advances in Economics and Business,
1(1), 1-5. https://doi.org/10.13189/aeb.2013.010101
Lee, J., Park, D. H., & Han, I. (2011). The different effects of online consumer
reviews on consumers’ purchase intentions depending on trust in online
shopping malls: An advertising perspective. Internet Research, 21(2), 187-
206. https://doi.org/10.1108/10662241111123766
Lissitsa, S., & Kol, O. (2016). Generation X vs. Generation Y: A decade of online
shopping. Journal of Retailing and Consumer Services, 31, 304-312.
https://doi.org/10.1016/j.jretconser.2016.04.015
Madden, T. J., Ellen, P. S., & Ajzen, I. (1992). A comparison of the theory of planned
behavior and the theory of reasoned action. Personality and Social
Psychology Bulletin, 18(1), 3-9. https://doi.org/10.1177/0146167292181001
Metzger, M. J., Flanagin, A. J., & Medders, R. B. (2010). Social and heuristic
approaches to credibility evaluation online. Journal of Communication, 60(3),
413-439. https://doi.org/10.1111/j.1460-2466.2010.01488.x
Mudambi, S. M., & Schuff, D. (2010). What makes a helpful online review? A study
of customer reviews on Amazon.com. MIS Quarterly, 34(1), 185-200.
https://doi.org/10.2307/20721420
Pan, Y., & Zhang, J. Q. (2011). Born unequal: A study of the helpfulness of user-
generated product reviews. Journal of Retailing, 87(4), 598-612.
https://doi.org/10.1016/j.jretai.2011.05.002
Park, S., & Nicolau, J. L. (2015). Asymmetric effects of online consumer reviews.
Annals of Tourism Research, 50, 67-83.
https://doi.org/10.1016/j.annals.2014.10.007
Rauschnabel, P. A., Krey, N., Babin, B. J., & Ivens, B. S. (2019). Brand management
in higher education: The university brand personality scale. Journal of
Business Research, 67(2), 928-934.
https://doi.org/10.1016/j.jbusres.2018.01.036
Sen, S., & Lerman, D. (2007). Why are you telling me this? An examination into
negative consumer reviews on the web. Journal of Interactive Marketing,
21(4), 76-94. https://doi.org/10.1002/dir.20090
PAGE \* MERGEFORMAT 2
Singh, S., Kumar, R., & Baabbad, M. (2018). The impact of online customer reviews
on consumer purchase intention: A study in Saudi Arabia. International
Journal of Research in Business Studies and Management, 5(3), 20-29.
https://doi.org/10.22214/ijraset.2018.9005
Von Helversen, B., Abramczuk, K., Kopec, W., & Nielek, R. (2018). Influence of
consumer reviews on online purchasing decisions in older and younger adults.
Decision Support Systems, 113, 1-10.
https://doi.org/10.1016/j.dss.2018.05.005
Walther, J. B., Van Der Heide, B., Hamel, L. M., & Shulman, H. C. (2012). Self-
generated versus other-generated statements and impressions in computer-
mediated communication: A test of warranting theory using Facebook.
Communication Research, 36(1), 229-253.
https://doi.org/10.1177/0093650210384987
Wang, X., Yu, Y., & Wei, Y. (2022). Supply chain quality management and the role
of online customer reviews: A game-theoretic approach. European Journal of
Operational Research, 296(2), 711-721.
https://doi.org/10.1016/j.ejor.2021.04.027
Zhang, L., Zhao, J., & Xu, K. (2014). Who creates online reviews and why: The
impact of gender, relationship status, and motivation on review creation
behavior. Journal of Retailing and Consumer Services, 21(3), 285-292.
https://doi.org/10.1016/j.jretconser.2014.02
PAGE \* MERGEFORMAT 2
A modified questionnaire of "Perception of Grade 11 Students on Customer Reviews on
Online Productive Purchasing"
Survey Questionnaire
10. Online shopping is not just buying products but is entertainment for
me.
PAGE \* MERGEFORMAT 2