Structural Equation Modelling

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In this step, SEM model is conducted to check the hypotheses in the research model. The Structural Equation Modelling is constructed above to testify the causal relationships between variables in research model.
From the table 23, all of the P-values are less than 0.05 which are satisfactory results. Moreover, it also shows the relationship between all of the factors in the table Regression Weights. Privacy Concerns has a negative impact on Trust and positive impact on Perceived – Risk. Besides Perceived –risk suffered from a negative influence of Trust while Trust has a positive impact on Attitude – Intention. Lastly, perceived – risk influenced negatively on Attitude – Intention.
From the result of data analysis and SEM model, a revised
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Thus it is concluded that Privacy Concerns have a negative impact on Trust and a positive impact on Risk. It means that the more people concerns of privacy on the Internet, the fewer trust they have to e-commerce business. Moreover, it also shows that the level of Privacy Concerns has some positive impact on Risk which means that customers will have a high level of perceived – risk when they are aware of privacy problems presented on the Internet.
The data also illustrates the relationship between Trust and Perceived – Risk. When people have a high degree of trust, they tend to perceive less of the risk that they may face when conducting online shopping. For that reason, Trust has a negative influence on Perceived – Risk. On the other hand, Trust has a positive impact on Attitude – Intention. As a matter of fact, customers often take action when they are having a high level of trust on the brands that they are going to buy. Therefore, Trust will enhance positively customers’ attitude and intention.
In contrast, Attitude – Intention suffered from the negative impact of Perceived – Risk. There is no doubt that when customers are aware of risk from online shopping, they will stop making online transactions and shifting back to traditional
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Specifically, firms should aim to gain customers’ trust when making a transaction on the Internet. Broadly, customers have to feel safe and get rid of privacy awareness when shopping online. Thus, firms should pay more attention to trust – oriented strategies. Furthermore, firms should design their websites and functions to be easier for customers to surf on their websites. It means that customers will reduce their perceived – risk due to the display of websites in a way that increase their level of trust.
5.3 Limitations However, the research also presents some drawbacks that prevent the efficient of the research. Firstly, the data was conducted and distributed in only 2 months and the lack of variety labor force. Thus, the data is not really satisfactory result and not presented the whole picture of the problem in Vietnamese e-commerce business. Secondly, the data is only collected in Ho Chi Minh area not in other Vietnamese area. For that reason, the result only tells what is going on inside Ho Chi Minh city but not in Vietnam. Therefore, it requires more time and effort to conduct a future research to resolve geographical problems and time.
5.4

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