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Impact of Pursuing Goals on Customer Channel Preference: Mediating Effects of Product Utility and Process Utility

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주제분류경영학

초록

This paper explores the influence of pursuing goals on customer channel preference in Chinese ruralmarket. With the rapid change in distribution channels and increase in multi-channels, it is necessaryto understand the preference for channel choice as well as product choice. This study empiricallyvalidated the conceptual framework of the relationship between the pursuing goals and customerchannel choice proposed by Balasubramanian, Raghunathan, and Mahajan (2005). Based on thesurvey data of 232 fertilizer customers in Chinese rural market, this study explores how economic,social, and psychological pursuing goals can impact customer channel preference by mediatingvariables of product utility and process utility. The results indicate that pursuing goals positively related with product utility and process utility,and product / process utility can mediate the relationship between pursuing goals and customerchannel preference positively. Consequently, we can conclude that customers’ economic-socialpsychologicalpursuing goals can directly influence customer channel preference via their purchaseprocess utility and product utility. This result also implies that product utility is effective on processutility during consumer’s buying decision making, and process utility and product utility are notmutually independent. Therefore, purchase process utility is a “latent driving force” on customer’schannel choice decision.

Abstract

This paper explores the influence of pursuing goals on customer channel preference in Chinese ruralmarket. With the rapid change in distribution channels and increase in multi-channels, it is necessaryto understand the preference for channel choice as well as product choice. This study empiricallyvalidated the conceptual framework of the relationship between the pursuing goals and customerchannel choice proposed by Balasubramanian, Raghunathan, and Mahajan (2005). Based on thesurvey data of 232 fertilizer customers in Chinese rural market, this study explores how economic,social, and psychological pursuing goals can impact customer channel preference by mediatingvariables of product utility and process utility. The results indicate that pursuing goals positively related with product utility and process utility,and product / process utility can mediate the relationship between pursuing goals and customerchannel preference positively. Consequently, we can conclude that customers’ economic-socialpsychologicalpursuing goals can directly influence customer channel preference via their purchaseprocess utility and product utility. This result also implies that product utility is effective on processutility during consumer’s buying decision making, and process utility and product utility are notmutually independent. Therefore, purchase process utility is a “latent driving force” on customer’schannel choice decision.

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