Cheng 2020
Cheng 2020
Cheng 2020
Introduction
Nowadays, led by the shift in customer needs and technological advances, the sharing
economy has been growing exponentially over the past decade, and it has led to tremendous Received 8 May 2019
Revised 22 December 2019
changes in many industries (Zhu et al., 2017; Kumar et al., 2018). Hence, firms need to adapt Accepted 13 June 2020
their business models and resource allocation to meet customer expectations in a more
The author would like to thank
convenient and efficient way (Zhu et al., 2017; Ganapati and Reddick, 2018; Kumar et al., the Editor and anonymous
reviewers for their insightful
2018). Essentially, the sharing economy is broadly characterized by peer-to-peer exchanges comments and valuable
for renting goods or services using internet-based platforms, and the platforms are explicitly suggestions.
DOI 10.1108/JABS-05-2019-0142 © Emerald Publishing Limited, ISSN 1558-7894 j JOURNAL OF ASIA BUSINESS STUDIES j
oriented toward the mobile device users (Wu et al., 2017; Ganapati and Reddick, 2018; Kumar
et al., 2018). Such internet-based sharing economy service platforms are distinctive from other
electronic commerce (e-commerce) platforms which are oriented toward peer-to-peer
economic transactions respectively (Wu et al., 2017; Zhu et al., 2017; Ganapati and Reddick,
2018). The proliferation of sharing economy platforms focuses on peer-to-peer transactions by
facilitating the sharing or renting of space, assets and labor in real time; and users can request
the sharing economy services from any place at any time with mobile applications at a
reasonably low transaction cost (Chang and Wang, 2018; Ganapati and Reddick, 2018).
Unquestionably, there is increasing attention to the internet-based sharing economy service
platform as a flexible way of developing the sharing economy services for users, and it has
been accepted by its intended users (Chang and Wang, 2018; Ganapati and Reddick,
2018; Kumar et al., 2018). Noteworthily, while users’ initial acceptance of the information
system (IS)/information technology (IT) is the first step toward its success, the eventual
success of the IS/IT depends on its continued usage (Wu, 2013). That is, while users’ initial
acceptance of the internet-based sharing economy service platform is the first step toward
achieving its success, its eventual success may still depend on continued usage. However,
far less emphasis has been placed on understanding whether users intend to continue
using the internet-based sharing economy service platform after having initially accepted it.
Thus, what drives users’ continuance intention of internet-based sharing economy service
platforms? Obviously, network externality can increase users’ usage of internet-based
services and their economic benefits (Lin and Lu, 2011). Essentially, network externality
refers to an increase in the utility/value of a product/service for a user as the number of other
users of that product/service increases (Katz and Shapiro, 1985; Van den Ende et al.,
2003); once the scale of users reaches a critical number, external benefit will emerge and
attract more users to use the product/service (Lin and Bhattacherjee, 2008; Lin and Lu,
2011). Besides, providing users with an excellent service quality has increasingly become a
critical concern for their IS/IT usage decisions (Ahn et al., 2004; Tam and Oliveira, 2016).
Hence, the success of internet-based sharing economy service platforms may depend on
building a critical mass of users including customers and service providers, as well as the
service quality provided by service enablers and service providers (Rochet and Tirole,
2003; Kumar et al., 2018).
While prior studies have explained the booming growth of the sharing economy services
usage from organizers’ or peer providers’ views (Martin et al., 2015; Yang et al., 2017), it
can absolutely not be neglected that network externality and service quality are crucial in
forming a better understanding for users’ continuance intention of internet-based sharing
economy service platforms from customers’ views. Essentially, the early adopters of sharing
economy services are mainly young people in large cities who are familiar with mobile
devices (PwC, 2015; Zhu et al., 2017). Thus, this study’s sampling frame was taken from
among students enrolled in a comprehensive university with over 15,000 enrolled students
in Taipei, Taiwan, and the unit of analysis was individual students with experience in using
sharing economy services (e.g. Uber, Airbnb, etc.) via internet-based sharing economy
service platforms. Presently, while the expectation–confirmation model (ECM), proposed by
Bhattacherjee (2001), is one of the most widely applied models in a variety of domains on
continued IS/IT usage (Lee, 2010), integrating ECM and perceived ease of use (PEOU) into
a hybrid framework can provide a better base for understanding users’ IS/IT continuance
intention with enhanced explanatory power (Hong et al., 2006; Thong et al., 2006; Liao et al.,
2007). The reason is that PEOU is one of the major cognitive beliefs in determining users’ IS/
IT continuance intention that is difficult to explain with the narrower scope of post-adoption
beliefs (Hong et al., 2006; Thong et al., 2006). Hence, the synthesis of ECM and PEOU can
be used as the base for this study’s research model. Accordingly, this study’s purpose is to
integrate network externality and service quality as antecedents to the synthesis of ECM
and PEOU in explaining customers’ continuance intention of internet-based sharing
economy service platforms.
H5b
Perceived Usefulness
H6a
H7a
H7b H1 H3 H4
H8
Perceived Ease of Use
Research model
This study integrates network externality and service quality as antecedents to the synthesis
of ECM and PEOU in explaining customers’ continuance intention of internet-based sharing
economy service platforms. The research model used in this study is depicted in Figure 1.
Methodology
Measures and pre-test
In this study, responses to the items in network externality from the customer’s side, network
externality from the service provider’s side, online service quality, offline service quality, PU,
PEOU, confirmation, satisfaction and continuance intention were measured on a seven-
point Likert scale from 1 (= “strongly disagree”) to 7 (= “strongly agree”) with 4 labeled as
neutral. Seven-point Likert scale was selected for the questionnaire scoring in this study,
because Bollen (1989) indicated that the seven-point Likert scale in structural equation
modeling (SEM) approach practically reveals the best performance. Essentially, content
validity ensures that construct items are drawn from a review of relevant literature
(Cronbach, 1951). In this study, items chosen for the constructs were adapted and revised
from previous research, where they had been shown to exhibit strong content validity.
Besides, the questionnaire was pre-tested on 50 students who had experience using
sharing economy services (e.g. Uber, Airbnb, etc.) via internet-based sharing economy
service platforms at a comprehensive university in Taipei, Taiwan in the voluntary and
anonymous way. Participants were asked to identify any ambiguities in the meanings, and
the questionnaire was revised based on their comments. Basically, face validity refers to
whether respondents perceive the construct items to be applicable and credible
(Cronbach, 1971). Hence, items chosen for the constructs in this study had strong face
validity. The instrument’s reliability was evaluated, and the Cronbach’s a values (ranging
from 0.82 to 0.96) exceeded common requirements for exploratory research, indicating a
satisfactory reliability level (Nunnally, 1978; Hair et al., 1998). The subjects who had
participated in the pre-test were excluded from the final data collection and subsequent
study. The final items are listed in Table 1 along with their sources.
Sampling process
The early adopters of sharing economy services are mainly young people in large cities who
are familiar with mobile devices (PwC, 2015; Zhu et al., 2017). Thus, this study’s sampling
frame was taken from among students enrolled in a comprehensive university with over
15,000 enrolled students in Taipei, Taiwan, and the unit of analysis was individual students
with experience in using sharing economy services (e.g. Uber, Airbnb, etc.) via internet-
based sharing economy service platforms. Questionnaires were distributed in various
campus locations, and the invited participants were selected based on their experience in
using sharing economy services via internet-based sharing economy service platforms.
Initial inquiry was made to each student agreed to participate in this study to confirm
Online service quality OnSQ1 When I use internet-based sharing economy service platforms, Cho et al. (2009)
(OnSQ) service enablers can provide me with prompt responses
OnSQ2 When I use internet-based sharing economy service platforms, Lin et al. (2017)
service enablers can provide me with on-time services
OnSQ3 When I use internet-based sharing economy service platforms,
service enablers can provide me with right responses to my requests
OnSQ4 Overall, sharing economy service enablers’ online services is
satisfactory
Offline service quality OffSQ1 When I use internet-based sharing economy service platforms, Orel and Kara (2014)
(OffSQ) service providers can provide me with prompt services
OffSQ2 When I use internet-based sharing economy service platforms, Shi et al. (2014)
service providers can provide me with services right at the first time
OffSQ3 When I use internet-based sharing economy service platforms,
service providers can provide me with individual attention
OffSQ4 Overall, sharing economy service providers’ offline services is
satisfactory
Network externality from the NEC1 Most of my friends use sharing economy services via internet-based Zhou (2015)
customer’s side (NEC) sharing economy service platforms
NEC2 Most of my peers use sharing economy services via internet-based Zhang et al. (2017)
sharing economy service platforms
NEC3 Most of the people in my personal circle use sharing economy
services via internet-based sharing economy service platforms
Network externality from the NEP1 I think that many people provide sharing economy services via Zhou (2015)
service provider’s side internet-based sharing economy service platforms
(NEP) NEP2 I think the number of people providing sharing economy services via Zhang et al. (2017)
internet-based sharing economy service platforms has increased
rapidly
NEP3 I believe that many people will continue to provide sharing economy
services via internet-based sharing economy service platforms in the
future
Perceived usefulness (PU) PU1 Using internet-based sharing economy service platforms can Davis (1989)
enhance the effectiveness of using related services
PU2 Using internet-based sharing economy service platforms can Thong et al. (2006)
improve the performance of using related services
PU3 Using internet-based sharing economy service platforms can give Lee (2010)
me greater control over the usage of related services
PU4 I find internet-based sharing economy service platforms to be useful
in using related services
Perceived ease of use PEOU1 Interacting with internet-based sharing economy service platforms Davis (1989)
(PEOU) does not require a lot of my mental effort
PEOU2 I find internet-based sharing economy service platforms easy to use Thong et al. (2006)
PEOU3 My interaction with internet-based sharing economy service Lee (2010)
platforms is clear and understandable
PEOU4 It is easy to get internet-based sharing economy service platforms to
do what I want them to do
Confirmation (Conf) Conf1 My experience with using internet-based sharing economy service Bhattacherjee (2001)
platforms was better than what I expected
Conf2 The service level provided by internet-based sharing economy Larsen et al. (2009)
service platforms was better than what I expected
Conf3 My expectations from using internet-based sharing economy service
platforms were confirmed
Satisfaction (Satisf) Satisf1 I am content with the performance of using internet-based sharing Bhattacherjee (2001)
economy service platforms
Satisf2 I am pleased with the experience of using internet-based sharing Lee (2010)
economy service platforms
Satisf3 I am happy with the functions provided by internet-based sharing Lin et al. (2017)
economy service platforms
(continued)
whether they matched this study’s selection criterion; if they matched the selection criterion,
then this study would further explain the study’s purpose and invite their participation.
Data collection
The data for this study were gathered by means of a paper-and-pencil survey, and the
questionnaires were distributed to students who had experience using sharing
economy services via internet-based sharing economy service platforms. To minimize
data variation, the data collection occurred during limited periods (Lin et al., 2010), and
the data for students were collected over a period of one month during a semester.
Overall, a total of 600 questionnaires were distributed in various campus locations.
Finally, 546 (91.0%) questionnaires were returned. A total of 36 of these received
questionnaires were discarded because of partial portions of missing values.
Consequently, 510 usable questionnaires were analyzed in this study, with a usable
response rate of 85.0%. Furthermore, using a x 2-test, no significant differences were
seen in the distribution by number of students between the sample and the population
( x 2 = 3.661, p > 0.05). Hence, the sample is representative of the population. The
results of the x 2-test and distribution by number of students between population and
sample are depicted in Table 2.
Ethical considerations
Based on ethical considerations, respondents’ rights and common method bias concerns
recommended by Podsakoff et al. (2003), respondents were asked to read the
Table 2 x 2-test and distribution by number of students between population and sample
Population Sample
Types of major N (%) N (%) x2
Data analysis
This study’s data analysis followed a two-step method for SEM approach recommended by
Anderson and Gerbing (1988). First, confirmatory factor analysis (CFA) was used to
develop the measurement model. Second, to explore the causal relationships among all
constructs, the structural model for the research model was tested using SEM. The
statistical analysis software packages used to perform these analyses were AMOS 5.0
(SPSS, Inc., Chicago, IL, USA) and SPSS 8.0 (SPSS, Inc., Chicago, IL, USA).
Results
Descriptive characteristics of the usable responses
A total of 510 usable responses were collected. Among them, 235 respondents (46.1%)
were males, and 275 respondents (53.9%) were females, with most of these respondents
(61.8%, n = 315) being undergraduate students. Most respondents, 68.6%, were
21–30 years old, and 25.7% were under 21 years old. Next, the respondents were enrolled
in a variety of majors; among them, 22.9% respondents majored in engineering (n = 117),
liberal arts (15.7%, n = 80), management (27.1%, n = 138), sciences (18.6%, n = 95), social
sciences (12.2%, n = 62) and others (3.5%, n = 18). Additionally, in terms of experience in
using sharing economy services via internet-based sharing economy service platforms,
most respondents reported that they had less than two years’ experience (62.3%, n = 318).
Descriptive characteristics of the usable responses are depicted in Table 3.
Test of normality
The sample size of 510 is more than the minimum size of 200 required for SEM analysis
(Kline, 2005); thus, the statistical method of skewness and kurtosis was used to assess the
normality of the data distribution. The absolute values of the skewness and kurtosis of all the
items should be less than 3 and 10, respectively (Kline, 2005; Teo et al., 2015). In this study,
the absolute values of the skewness and kurtosis of all the items are within 0.063–0.518 and
0.168–0.889, respectively, thus confirming that the data are normally distributed.
Measurement model. To assess the measurement model, three types of analyses were
conducted in this study. First, with regard to reliability, according to the views of previous
studies (Nunnally, 1978; Hair et al., 1998; Holmes-Smith, 2001), squared multiple correlation
(SMC) for each item, and composite reliability (CR) and average variance extracted (AVE)
for each construct were used in this study to test the reliability of all constructs. The results
of CFA showed that the SMC values for all items were greater than 0.5, which indicated a
good reliability level (Holmes-Smith, 2001). The values of CR and AVE for all constructs
exceeded the minimum acceptable values of 0.7 and 0.5 (Nunnally, 1978; Hair et al., 1998;
Holmes-Smith, 2001), indicating a good reliability level and subsequently yielding very
consistent results. Hence, the results of CFA demonstrated an acceptable level of reliability
for all constructs. Moreover, the reliability coefficients of all constructs assessed by the
Gender
Female 275 53.9
Male 235 46.1
Age
<21 131 25.7
21–30 350 68.6
31–40 23 4.5
41–50 6 1.2
>50 0 0.0
Educational level
Undergraduate students 315 61.8
Graduate students 195 38.2
Major
Engineering 117 22.9
Liberal arts 80 15.7
Management 138 27.1
Sciences 95 18.6
Social sciences 62 12.2
Others 18 3.5
Experience in using sharing economy services via internet-based sharing economy service platforms
(UExp)
0 year < UExp < 1 year 120 23.5
1 year UExp < 2 years 198 38.8
2 years UExp < 3 years 192 37.7
x 2/df should be less than 3 (Bagozzi and Yi, 1988; Hair et al., 1998). The overall fit
indices of measurement model were x 2 = 1,285.863, df = 584, x 2/df = 2.202, p < 0.001,
GFI = 0.931, AGFI = 0.917, IFI = 0.963, TLI = 0.958, CFI = 0.963 and RMSEA = 0.049.
Thus, the results of CFA showed that the indices were over their respective common
acceptance levels.
Common method bias. When the research data collected from the same source with self-
reported questionnaires, there is a concern that a common method bias may occur
(Malhotra et al., 2006). That is, common method bias may affect the empirical results.
OnSQ 0.724
OffSQ 0.017 0.764
NEC 0.010 0.069 0.759
NEP 0.050 0.021 0.067 0.830
PU 0.187 0.141 0.217 0.168 0.709
PEOU 0.181 0.189 0.042 0.162 0.213 0.783
Conf 0.145 0.147 0.225 0.156 0.212 0.196 0.804
Satisf 0.164 0.175 0.248 0.168 0.210 0.186 0.259 0.767
CI 0.142 0.167 0.196 0.152 0.243 0.206 0.315 0.282 0.805
Notes: OnSQ = Online service quality; OffSQ = Offline service quality; NEC = Network externality
from the customer’s side; NEP = Network externality from the service provider’s side; PU = Perceived
usefulness; PEOU = Perceived ease of use; Conf = Confirmation; Satisf = Satisfaction; CI =
Continuance intention; the italic values along the diagonal line are the AVE values for the constructs,
and the other values are the squared correlations for each pair of constructs
According to the views recommended by Podsakoff et al. (2003), to prevent the threat of
common method bias, in this study, respondents were assured that their participation and
responses would be completely anonymous, confidential and voluntary; they were notified
the right to withdraw from their participation at any time; and they were informed that there
were no right or wrong answers to the items and were requested to reflect their true
opinions on each item as objectively as possible. Besides, common method bias test
should be conducted, and Harman’s single-factor test was used to examine the common
method bias (Harman, 1976; Podsakoff and Organ, 1986; Podsakoff et al., 2003).
Essentially, two analyses were used in this study. First, this study entered all the self-
reported variables in an exploratory factor analysis with principal components analysis and
unrotated factor solution. The result indicated that nine factors emerged with eigenvalues
greater than 1 and 86.8% of the variance explained, and no single factor was dominant with
the first factor accounting for 28.2% of the variance. Hence, no one factor accounts for the
majority of the variance in the variables; thus, it seems that the common method bias is not
a problem for this study (Podsakoff and Organ, 1986; Podsakoff et al., 2003). Next, a CFA
approach to Harman’s single-factor test was used to assess the common method bias
(Sanchez et al., 1995). This study used CFA to test the fit of a single-factor model (where all
items were loaded on a single factor) and a nine-factor model. The results showed that the
fit indices of the single-factor model ( x 2 = 3,380.741, df = 629, x 2/df = 5.375, p < 0.001,
GFI = 0.774, AGFI = 0.747, IFI = 0.855, TLI = 0.847, CFI = 0.855 and RMSEA = 0.093) were
worse than those of the nine-factor model ( x 2 = 1,285.863, df = 584, x 2/df = 2.202, p <
0.001, GFI = 0.931, AGFI = 0.917, IFI = 0.963, TLI = 0.958, CFI = 0.963 and RMSEA =
0.049). Based on the views recommended by Sanchez et al. (1995), the fit is considerably
worse for the single-factor model than it is for the multi-factor model, which indicates that
common method bias is not a serious threat in this study.
Structural model. The further step is to test the structural model for the research model
depicted in Figure 1. The overall fit indices for the structural model were as follows: x 2 =
1,639.568, df = 605, x 2/df = 2.710, p < 0.001, GFI = 0.901, AGFI = 0.885, IFI = 0.941, TLI =
0.935, CFI = 0.941 and RMSEA = 0.058. Based on the rules of prior studies (Bagozzi and
Yi, 1988; Hair et al., 1998), the results of CFA showed that the fit indices for this structural
model were quite acceptable.
Hypothesis testing. Properties of the causal paths, including standardized path coefficients
( b ), t-values and explained variances (R2), are shown in Figure 2. As to ECM, confirmation
had significant effects on PU ( b = 0.296, p < 0.001) and satisfaction ( b = 0.623, p <
0.001); PU had significant effects on satisfaction ( b = 0.188, p < 0.001) and continuance
OnSQ
OnSQ1 0.309 0.337 0.177 0.828 0.089 0.066 0.038 0.033 0.045
OnSQ2 0.327 0.331 0.175 0.835 0.066 0.116 0.041 0.082 0.038
OnSQ3 0.318 0.295 0.205 0.862 0.071 0.074 0.045 0.038 0.059
OnSQ4 0.362 0.287 0.155 0.868 0.079 0.098 0.073 0.063 0.051
OffSQ
OffSQ1 0.295 0.331 0.203 0.089 0.861 0.051 0.068 0.033 0.037
OffSQ2 0.328 0.353 0.161 0.129 0.851 0.102 0.045 0.045 0.075
OffSQ3 0.355 0.268 0.182 0.088 0.825 0.125 0.055 0.071 0.081
OffSQ4 0.325 0.277 0.175 0.138 0.829 0.073 0.041 0.086 0.045
NEC
NEC1 0.293 0.338 0.225 0.081 0.066 0.045 0.088 0.034 0.768
NEC2 0.315 0.282 0.251 0.097 0.091 0.077 0.071 0.075 0.856
NEC3 0.351 0.318 0.206 0.079 0.079 0.105 0.079 0.061 0.888
NEP
NEP1 0.330 0.335 0.202 0.091 0.066 0.086 0.878 0.038 0.059
NEP2 0.348 0.296 0.235 0.095 0.105 0.102 0.906 0.071 0.047
NEP3 0.315 0.322 0.223 0.083 0.063 0.059 0.891 0.081 0.038
PU
PU1 0.354 0.338 0.275 0.105 0.069 0.806 0.071 0.045 0.035
PU2 0.368 0.335 0.285 0.088 0.045 0.833 0.049 0.078 0.081
PU3 0.325 0.295 0.273 0.118 0.075 0.803 0.068 0.035 0.043
PU4 0.298 0.305 0.281 0.131 0.056 0.822 0.102 0.055 0.038
PEOU
PEOU1 0.295 0.838 0.231 0.135 0.068 0.056 0.109 0.031 0.029
PEOU2 0.351 0.915 0.216 0.125 0.087 0.073 0.074 0.056 0.037
PEOU3 0.358 0.898 0.195 0.115 0.045 0.091 0.071 0.071 0.082
PEOU4 0.379 0.908 0.185 0.111 0.061 0.085 0.066 0.075 0.074
Conf
Conf1 0.356 0.373 0.168 0.118 0.055 0.056 0.059 0.868 0.056
Conf2 0.355 0.325 0.251 0.085 0.066 0.051 0.051 0.879 0.075
Conf3 0.375 0.315 0.182 0.116 0.103 0.085 0.082 0.861 0.059
Satisf
Satisf1 0.356 0.355 0.891 0.115 0.046 0.051 0.041 0.051 0.039
Satisf2 0.369 0.345 0.901 0.045 0.068 0.105 0.059 0.083 0.031
Satisf3 0.338 0.282 0.851 0.094 0.078 0.071 0.098 0.033 0.056
Satisf4 0.355 0.293 0.875 0.062 0.071 0.095 0.083 0.082 0.079
CI
CI1 0.908 0.357 0.255 0.155 0.061 0.066 0.056 0.029 0.035
CI2 0.928 0.322 0.218 0.151 0.046 0.086 0.043 0.051 0.041
CI3 0.905 0.355 0.266 0.106 0.075 0.059 0.046 0.073 0.061
CI4 0.923 0.328 0.235 0.125 0.049 0.098 0.089 0.061 0.045
Notes: OnSQ = Online service quality; OffSQ = Offline service quality; NEC = Network externality
from the customer’s side; NEP = Network externality from the service provider’s side; PU = Perceived
usefulness; PEOU = Perceived ease of use; Conf = Confirmation; Satisf = Satisfaction; CI =
Continuance intention; the italic values are factor loadings that are significant and greater than 0.7
0.055
(1.415)
Perceived Usefulness
[R 2 = 0.671]
0.125
(3.816)
0.348
(5.348)
0.785
0.483 0.138 0.150
(20.057)
(9.562) (2.587) (2.801)
0.118
(2.822) Perceived Ease of Use
[R 2 = 0.731]
0.01); hence, H2, H3 and H4 are supported. With regard to the antecedents of customer
beliefs, first, network externality from the customer’s side had a significant effect on PU ( b =
0.222, p < 0.001), but network externality from the customer’s side had an insignificant
effect on continuance intention ( b = 0.055, p > 0.05); hence, H5a is supported, but H5b is
rejected. Next, network externality from the service provider’s side had a significant effect
on PU ( b = 0.125, p < 0.001), but network externality from the service provider’s side had
an insignificant effect on continuance intention ( b = 0.038, p > 0.05); hence, H6a is
supported, but H6b is rejected. Third, online service quality had significant effects on PU
( b = 0.348, p < 0.001), confirmation ( b = 0.785, p < 0.001) and PEOU ( b = 0.425, p <
0.001); hence, H7a, H7b and H7c are supported. Finally, offline service quality had a
significant effect on PU ( b = 0.118, p < 0.01); hence, H8 is supported. In the following, the
explained variances (R2) of PU, confirmation, PEOU, satisfaction and continuance intention
were 0.671, 0.632, 0.731, 0.775 and 0.815, respectively. Further, using the empirical results
above, the direct and indirect effects between the constructs are shown in Table 7.
Discussions
Based on the synthesis integrating ECM and PEOU, this study’s results verified that network
externality and service quality, as antecedents to customer beliefs, could lead to customers’
continuance intention of internet-based sharing economy service platforms. Detailed
discussions are proposed below.
OnSQ 0.348 0.390 0.738 0.425 0.380 0.805 0.785 – 0.785 – 0.739 0.739 – 0.685 0.685
OffSQ 0.118 – 0.118 – – – – – – – 0.022 0.022 – 0.038 0.038
NEC 0.222 – 0.222 – – – – – – – 0.042 0.042 – 0.072 0.072
NEP 0.125 – 0.125 – – – – – – – 0.024 0.024 – 0.040 0.040
PU – – – – – – – – – 0.188 – 0.188 0.220 0.102 0.322
PEOU 0.196 – 0.196 – – – – – – 0.138 0.037 0.175 0.150 0.138 0.288
Conf 0.296 0.095 0.391 0.483 – 0.483 – – – 0.623 0.140 0.763 – 0.573 0.573
Satisf – – – – – – – – – – – – 0.543 – 0.543
Notes: OnSQ = Online service quality; OffSQ = Offline service quality; NEC = Network externality from the customer’s side; NEP =
Network externality from the service provider’s side; PU = Perceived usefulness; PEOU = Perceived ease of use; Conf = Confirmation;
Satisf = Satisfaction; CI = Continuance intention; DE = Direct effect; InDE = Indirect effects; TE = Total effects
Theoretical implications
This study’s results strongly supported the research model integrating ECM and PEOU via
using network externality and service quality as the drivers with all hypothesized links being
significant, and this model accounted for 77.5% and 81.5% of the variance in satisfaction
and continuance intention of internet-based sharing economy service platforms,
respectively. Hence, this study’s research model has good explanatory power and provides
practitioners and academics with an in-depth understanding of customers’ satisfaction and
continuance intention of internet-based sharing economy service platforms. Detailed
theoretical implications are proposed below.
Practical implications
This study enhances the understanding for the impacts of customers’ perceived network
externality and service quality on their satisfaction and continuance intention of internet-
based sharing economy service platforms, and thus provides organizations wishing to
Conclusions
This study’s research model incorporates ECM and PEOU by positioning key constructs
(i.e. network externality and service quality) as the drivers of customers’ continuance
intention of internet-based sharing economy service platforms, and the results confirm
that the research model is strongly supported by the empirical evidence. Hence, this
study provides a more complementary understanding of customers’ continuance
intention of internet-based sharing economy service platforms than either theory
considered alone. The following contributions are particularly worth mentioning. First,
previous studies in the adoption of internet-based sharing economy service platforms do
not consider focusing more on exploring the effects of network externality from
customers’ side and service providers’ side, not only on customers’ initial usage, but also
on the second phase of the process leading to their continuance. Thus, the application of
network externality in the field of customers’ continuance intention of internet-based
sharing economy service platforms reveals deep insights when facing the phenomenon
of bandwagon effects among customers and service providers. Next, it is especially
worth mentioning that this study contributes to the application of service enablers’ online
service quality in understanding customers’ continuance intention of internet-based
sharing economy service platforms is greatly driven by their confirmation of expectations,
and the application of service providers’ offline service quality is just as critical to retain
customers continuously using the platforms. Third, while ECM is shown to have good
predictive validity for the IS/IT continuance intention, simply focusing on the effects of
users’ single utilitarian perception (i.e. PU) on their continued IS/IT usage intention may
not be enough (Hong et al., 2006; Thong et al., 2006). It should be noted that the
constructs of ECM can be combined with other synergistic variables (i.e. PEOU) in
predicting continued IS/IT usage intention (Hong et al., 2006). In this study, the empirical
evidence on capturing both ECM and PEOU for explaining customers’ continuance
intention of internet-based sharing economy service platforms is well documented.
Hence, this study’s empirical evidence has significantly shed light on the possible
formulation of a richer post-adoption model.
Three limitations should be noted in this study, and the following suggestions for further
research will be worth future efforts in this field. First, a major limitation of this study is that
findings are based only on a population of Taiwanese students who have experience in
using sharing economy services via internet-based sharing economy service platforms.
Given this study’s limited scope, further research may generalize this study’s sample to the
respondents of other national cultural backgrounds. Next, this study integrates network
externality and service quality as antecedents to the synthesis of ECM and PEOU in
explaining customers’ continuance intention of internet-based sharing economy service
platforms. Further research may explore other theoretical models to explain more variance
of users’ continuance intention of internet-based sharing economy service platforms, while
this study’s research model has significantly shed light on this research topic. Finally, a
cross-sectional design was used to this study as data were collected at one point in time. It
may be desirable to understand customers’ continuance intention of internet-based sharing
economy service platforms with increasing their usage experience. Further research may
use a longitudinal analysis by taking into consideration the evolution of customers’
continuance intention of internet-based sharing economy service platforms over time.
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