A social cognitive perspective on channel preference: A study of online investing

Clayton A. Looney, Asli Y. Akbulut, Robin S. Poston

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

Understanding the mechanisms by which consumers choose to conduct their business activities via the online channel represents an important concern for Web designers, marketers, and public policy makers alike. This study develops a research model based on Social Cognitive Theory to explain and predict channel preference. The model is subsequently tested in an online investing context using observations obtained via survey. The results suggest that task-specific self-efficacy beliefs serve as the activating mechanism kicking off a chain of psychological events that entice consumers to favor a particular channel. In addition to its direct effects on preference for the online approach, higher levels of self-efficacy influence one's propensity to take risks and expectations of performance-oriented rewards, which, in turn, sway consumers to favor the online channel. Furthermore, self-efficacy and perceptions concerning the credibility of online information interact to influence channel preference. Consumers are most likely to conduct their business activities online when they view themselves as capable and perceive online sources to be credible. Implications for theory and practice are discussed in light of the findings.

Original languageEnglish
Title of host publicationProceedings of the 39th Annual Hawaii International Conference on System Sciences, HICSS'06
Pages115c
DOIs
StatePublished - 2006
Event39th Annual Hawaii International Conference on System Sciences, HICSS'06 - Kauai, HI, United States
Duration: Jan 4 2006Jan 7 2006

Publication series

NameProceedings of the Annual Hawaii International Conference on System Sciences
Volume6
ISSN (Print)1530-1605

Conference

Conference39th Annual Hawaii International Conference on System Sciences, HICSS'06
Country/TerritoryUnited States
CityKauai, HI
Period01/4/0601/7/06

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