Browsers or Buyers in Cyberspace? An Investigation of Factors Influencing Electronic Exchange

In its current form, the Internet is primarily a source of communication, information and entertainment but increasingly also a vehicle for commercial transactions. An understanding of reasons for purchasing on the World Wide Web is particularly relevant in the context of predictions made regarding electronic shopping in the future. In the paper, we focus on some of the antecedents to electronic exchange in the online context. In particular, what are some of the factors influencing online purchasing behavior? What is the role of privacy and security concerns in influencing actual purchase behavior? How do vendor and customer characteristics influence consumers' propensity to engage in transactions on the Internet? We analyze secondary data from an e-mail survey. The study has implications for both theory and practice. The findings extend our knowledge of factors influencing marketing exchange from the traditional setting to the internet context. In addition, the findings regarding factors enhancing the propensity to shop online have implications for internet retailers seeking to enlarge their online customer base.