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The Effect of Perceived Similarity and Usage Behavior of Component Products on Adoption Intentions of Convergence Product - Focused on Wibro in the Telecommunication Market -

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As innovative products with information technology and convergence products of wired Internet and wireless Internet, a new mobile broadband Internet called Wibro is attracting the attention of firms in the telecommunications market these days. This study examines the effect of the perceived similarity between wired (and wireless) Internet and Wibro and usage behaviors (usage, usage volume, and usage behavior) of wired (and wireless) Internet on Wibro adoption intentions. This approach differentiates the existing innovation adoption-related literature and expands the convergence product-related literature. The study’s results reveal that adoption intentions of Wibro are affected by the perceived similarity between Wibro and wired (and wireless) Internet. The perceived similarity with wireless Internet has a greater influence on Wirbro adoption intentions than that of wired Internet. This suggests that Wibro could be a greater potential substitute of wireless Internet than that of wired Internet. Additionally, this research finds that Wibro adoption intentions are influenced by usage behaviors of wired (and wireless) Internet, and this influence is different across customer segments based on usage. Implications for telecommunication firms and future research are discussed.

Abstract

As innovative products with information technology and convergence products of wired Internet and wireless Internet, a new mobile broadband Internet called Wibro is attracting the attention of firms in the telecommunications market these days. This study examines the effect of the perceived similarity between wired (and wireless) Internet and Wibro and usage behaviors (usage, usage volume, and usage behavior) of wired (and wireless) Internet on Wibro adoption intentions. This approach differentiates the existing innovation adoption-related literature and expands the convergence product-related literature. The study’s results reveal that adoption intentions of Wibro are affected by the perceived similarity between Wibro and wired (and wireless) Internet. The perceived similarity with wireless Internet has a greater influence on Wirbro adoption intentions than that of wired Internet. This suggests that Wibro could be a greater potential substitute of wireless Internet than that of wired Internet. Additionally, this research finds that Wibro adoption intentions are influenced by usage behaviors of wired (and wireless) Internet, and this influence is different across customer segments based on usage. Implications for telecommunication firms and future research are discussed.

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