Integration of environmental, social, and economic dimensions in e-commerce sustainability: Kenya

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2021
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This study investigates e-commerce sustainability through the integration of environmental, social, and economic (ESE) dimensions, and the mitigation of online risks such issues as, trust, privacy, and security as mediating effects on e-commerce sustainability, to enhance sustainable e-commerce now and for the future.E-commerce growth and development have been enhanced through the advancement of information communication technology (ICT). Which is almost to be fully realized and change the way of doing business in the retail industry in developed countries. However, with customers becoming more aware of green products and sustainability. This has influenced the change of behaviour, attitudes, and preferences on consumers' online shopping habits and demand for more sustainable products and services. However, e-commerce in developing countries like Kenya is faced with unsustainable production and consumption by use of natural resources, environmental impact, unemployment, unfair trade, and high cost of production. Likewise, customers have a worrying trend at the back of their mind on online shopping risks, such as trust, privacy, and security issues, of their information being stolen or misused thus hindrances to the full realization of e-commerce in developing countries. Therefore, because of this gap, has propelled the author with the urge and motivation to undertake this study on how to integrate the environment, social, and economic dimensions with trust, privacy, and security issues as a mediating effect to enhance e-commerce sustainability with special attention to Kenya. The author perceives if e-commerce platforms would adopt more sustainable ways towards environmental, social, and economic dimensions and mitigation to online risks would lead to solving most of the world's challenging problems. A thorough literature review has been conducted on the previous studies to identify the research gap hence leading to the development of a research model based on the literature and author' previous works. Primary data for the research was collected from Hungary and Kenya via a well-structured online consumer questionnaire survey. A total of 1060 responses were accepted as valid with 27 question items on the survey. The questionnaire adopts a 5-Likert scale of 1-strongly disagree, 2-disagree, 3-neutral, 4-agree, and 5-strongly agree. Therefore, asking consumers to respond to agree how much to disagree with the statement accordingly. The survey formed a deductive quantitative cross-sectional approach, and significance tests are performed on partial correlation and ordinal regression to determine the relationship and influence between the independent, mediating effect on e-commerce sustainability. Also, an interview was carried out on two companies forming the inductive qualitative approach and creating two case studies on well-structured interview questions from the company managers. Therefore, mixed methods were used for this study. Besides, the R model was used to test the impact of the mediating effect on the independent and dependent variables independently and the proportion of influence on each other. Also, google scholar was used as secondary data for the literature and collecting the references and citations in this study. Factor analysis was conducted to identify principal components and compress the 27 question items into 6 variables. Kaiser-Meyer-Olkin (KMO) and Bartlett’s Test of Sphericity were performed to determine if the factor analysis was viable and acceptable. For the reason for testing homogeneity, respectively. Thus, the tests confirmed factor analysis was very essential and was applied. Cronbach’s alpha and composite reliability tests were performed to test the validity and reliability of the measurement tools, and the tools were found to be reliable and valid. Chi-square and non-parametric tests were performed on determining the degree of significance of the correlation model. While polytomous Universal Model (PLUM) was used to test the fitness of the ordinal regression model. Further, this research adopted Andrew Hayes, Baron and Kenny for the mediation process, to test the significance of the mediating effect on independent and dependent variables. Based on the results, of the qualitative analysis in the case studies, noted that both companies are agreeing on the importance of sustainability. This is a result of the consumers become more aware of the advantages of sustainability hence demanding green products and services. E-commerce firms are required to produce high quality, eco-friendly products with environmental impact. Company X has thrived through in all the three dimensions of sustainability, in addition to the quality service dimension. Whereas company Y has experienced major challenges since failed to implement a department that supports the sustainability strategies and policies in her e-commerce platform. This has a significant and positive impact on solving environmental pollution, social injustices, and economic dimensions for company X and not Y. Also, mitigation of the online risks such as trust, privacy, and security issues provided data protection for the consumers and retailers hence promoting e-commerce sustainability.Similarly, quantitative analysis, correlation and regression tests indicated significant and positive influence between independent, mediating effects, and dependent variables. For the independent variables, integrating the environmental, social, and economic dimensions are very keys aspects of sustainability both to the retailers and consumers. This was noted through data collected via the questionnaire. All the respondents expressed experiencing challenges that could be solved via e-commerce platforms if only adopt policies that support integration of the three dimensions to sustainability. Therefore, sustainable e-commerce is a digital environment platform that offers both retailers and customers empowerment economically, socially, and environmentally through taking the best possible trade-offs to win/win solution from the most world challenges. Such as pollution reduction, protection, and conservation of natural resources and biodiversity, employment, fair trade, equity, and equality among all stakeholders. Supports hypothesis H1. Correspondingly, mitigating online risks on trust, privacy, and security issues in e-commerce sustainability enable growth of online shopping now and future in developing countries like Kenya. E-retailers must ensure security and privacy on consumers by subscribing to security certified features such as secure socket layer (SSL) certificate, use of hyper-text transfer protocol (HTTP), that scan for malware, for protection data from unauthorized access, use, alteration, or destruction and avoid financial loss of the online customers. Trust has been identified as the main moderator that makes consumers abandon shopping carts when buyers lack confidence in e-retailers’ website. Therefore, e-retailers must guarantee and provide a secure environment for online transactions to take place, hence fostering sustainable e-commerce. This agreed with hypothesis H2. R model was consistent with SPSS data analysing tool, and case studies. Supported by previous studies, that the results indicated a significant and positive connection how to integrate the environmental, social, and economic dimensions and mitigate online risks trust, privacy, and security issues on e-commerce sustainability to promote growth. Results of R model coefficients (indirect effects) for sustainability, show that trust and privacy were more favourable to social and economic dimensions while security ranked the environment best. Meaning that retailers and consumers will enjoy more benefits if trust and privacy are provided whereas protecting the environment as a measure of security. Similarly, this study was able to find similarities or connections between ESE, MMF, and ESUS confirming a significant and positive linear relationship between the variables under study. As was cited in other similar previous studies (MCDOUGALL-LEVESQUE, 2000). Thus, it will be consistent and for one to make conclusions that the aims and objectives of this study were achieved according to the expectations. All the hypotheses were accepted. The integration of environmental, social, and economic dimensions with the mediating effect enhanced e-commerce sustainability. The results confirm significant and positive connection and linear relation between independent variable on mediating effect though at a moderate level. So, it a source of new insights for all business enterprises on an e-commerce platform to adopt sustainability strategies and policy implementations as a competitive advantage. E-retailers must monitor closely the dynamic and changing behaviours, attitudes, and preferences of online consumers towards sustainability and implementation. Supports hypothesis H3 direct. All effects regarding the moderation and mediation were significant and the R-square values in the R model are indicating a proper model fit regarding the regressions on e-commerce sustainability. Privacy and Trust had the highest indirect influence on social factors and the effect of the environment is less on both mediators. Regarding the direct effects trust and privacy is key to consumers, the author can state that the role of trust is more important than that of privacy and security from this study. This will not only enable to keep the current customers but will extend to acquiring new customers thus a large customer base. The implications being high sales, high profits, and minimal costs, attaining economies of scale. Besides, customers would enjoy the benefits of e-commerce, more so to green, eco-friendly products and environmental impact. Benefits of sustainable e-commerce are convenience, time, and money-saving, relaxed and efficient mode of online shopping. With secure e-commerce environment that offers data protection to both retailers and consumers will guarantee e-commerce growth and development, as well as a good experience, satisfaction, and loyalty in online customers in developing countries like Kenya now and in the future as was depicted in the results.

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Gazdálkodás- és szervezéstudományok, Társadalomtudományok
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