ONLINE SHOPPING: LEVEL OF SATISFACTION OF COLLEGE STUDENTS

OF GARCIA COLLEGE OF TECHNOLOGY, Inc.

A Thesis
Presented to
The Faculty of the Accountancy Department
Garcia College of Technology, Kalibo, Aklan

In Partial Fulfillment
of the Requirements for the Degree
BACHELOR OF SCIENCE IN ACCOUNTANCY

Maricris B. Alfaro
Joana Rafaela C. Amacio
Jhoann P. Barsubia
Cherry Gil Dionela
Jesalonica L. Lerio
Rogilyn R. Macahilig
Rhea Lyn P. Manlabao
Jesalie M. Nacino
Mesialyn N. Villorente
Ma. Joy C D. Yerro

May, 2021
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TABLE OF CONTENTS

CHAPTER

1. INTRODUCTION

Background of the Study. . . . . . . . . . . . . . . .. . 1

Objectives of the Study. . . . . . . . . . . . . . . . . . 2

Hypothesis of the Study. . . . . . . . . . . . . . . . . . . 2

Significance of the Study. . . . . . . . . . . . . . . . . . . 2

Scope and Limitations of the Study . . . . . . . . . . . . . . 3

Theoretical Framework . . . . . . . . . . . . . . . . . . 4

Conceptual Framework . . . . . . . . . . . . . . . . . 5

Definition of Terms . . . . . . . . . . . . . . . . . . . .6

2. REVIEW OF RELATED LITERATURE

Level of Satisfaction in Online Shopping in Relation to Sex . . . . 7

Level of Satisfaction in Online Shopping in Relation to Education . 8

3. METHODOLOGY

Research Environment. . . . . . . . . . . . . . . . . . 9

Research Design . . . . . . . . . . . . . . . . . . . . 9

Distribution of the Respondents . . . . . . . . . . . . . . 10

Target Population and Sampling Procedure . . . . . . . . . 10

Population, Sampling Fraction and Sample Size per Program,

Distribution of the Respondents by Program. . . . . . . . . . 10

Research Instruments . . . . . . . . . . . . . . . . . . . 11
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Validity of the Research Instruments . . . . . . . . . . . . . 15

Reliability of the Research Instruments . . . . . . . . . . . 15

Administration of the Inventory . . . . . . . . . . . . . . 16

Data Collection . . . . . . . . . . . . . . . . . . . . . . . 16

Statistical Data Analysis . . . .. . . . . . . . . . . . . 17

REFERENCES . . . . . . . . . . . . . . . . . . . . . . . . . . . .18

APPENDIX

Questionnaire . . . . . . . . . . . . . . . . . . . . . . .22
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CHAPTER I

INTRODUCTION

Background of the Study

Compared with physical stores, online businesses offer convenience to customers

(Business.com, 2017). Customers can just sit at their home, place their orders, pay via

credit card, and wait until the goods are delivered to their home. Nowadays, online

shopping is the very easy process of buying any products from the retailers for regular

purpose as maximum people have some common tools of online shopping such as smart

phones, computers, laptops, tablets and many others (Souca, 2014).

As the use of the internet has increased, e-commerce has become available for a

great number of customers (Holdorf and Haasis, 2014). Online shopping has been

growing in time because more and more consumers have begun trusting online commerce

and have moved a significant part of their shopping online (Lixandroiu, 2017).

It has been seen that digital technology imparts a huge impact over the customer

attraction and customer satisfaction as well (Suoca, 2014).

With the rise of online shopping, it has been accompanied by a sharp increase in the

prevalence of customer satisfaction issues among the customers. Consumer satisfaction is

the result of comparing the expectations and the experience; in other words, the consumer

is pleased when the delivery meets or exceeds their expectations. Satisfaction and loyalty

are the key elements determining the success of the market concept implementation

(Khristianto,2012).
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Consumer satisfaction with online shopping is directly dependent on a number of

factors. There is a constant dilemma in the market related to the question which online

shopping determinants affect the customer satisfaction (N.Vasić,2019).

This paper sets out to address this research gap. This research paper aims to

determine the level of satisfaction of college students of Garcia College of Technology

towards online shopping.

Objectives of the Study

The primary purpose of this study is to determine the level of satisfaction of the

college students of Garcia College of Technology towards online shopping.

Specifically, the study aim to determine:

1. the personal profile of the respondents such as their sex, program and year

level;

2. the level of customer satisfaction of the respondents in online shopping; and

3. whether there is a significant relationship between the sex, program and

year level and level of satisfaction in online shopping.

Hypothesis of the Study

There is no significant relationship between sex, program and year level and the

level of satisfaction in online shopping.

Significance of the Study

The following people will benefit from this study:

Students. This study will give information on the level of satisfaction of their

fellow students in online shopping.

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Consumers. This study will give consumers the information about the level of

satisfaction of the respondents in online shopping that will help them make decisions

with online shopping transactions.

Online Sellers. This study will help them identify the influence of demographics

in level of satisfaction in online shopping. Knowing these reasons will help them meet

online customers’ expectations which will improve their business.

Parents. This study will give the parents the idea of the level of satisfaction in

online shopping of their children.

Future Researchers. This study may serve as a reference for future studies about

online shopping and level of customer satisfaction.

Scope and Delimitations of the Study

The scope and limitations of the study includes the setting, the time frame, and the

number of the respondents. Garcia College of Technology in Estancia, Kalibo, Aklan

shall be the setting in which the study will be conducted. The respondents or subjects for

the study will be the college students. The main purpose of this study is to know and

measure the level of satisfaction of the students in online shopping with the college

students of Garcia College of Technology enrolled this academic year 2020-2021.

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Theoretical Framework

According to theory-based structural equation model by Feng, Wang and Fragojo

(2014), understanding customer satisfaction can provide companies with information to

streamline their operations and focus improvement programs on achieving cost efficiency

to ultimately achieve better performance (Ilieska, 2016). Expectations in this competitive

situation, e-tailers need to comprehend buyer behaviour to tailor their product offering to

guarantee customer satisfaction. Satisfied customers would return to purchase and spread

positive word of mouth (Pham & Ahammad, 2017) thus greatly influencing customer

loyalty (Choi & Kim, 2013). It is therefore helpful to identify determinants of customer

satisfaction to improve company performance. Product quality, service quality, and value

for money were significant drivers of customer satisfaction based on an analysis of

hierarchical regression model of online survey results to 188 customers of a large

European financial service provider (Evanschitzky, Sharma, & Catja, 2012).

Specifically, they found that generic requirements measured in terms of service quality

and perceived value; flexibility measured in terms of adequacy of consumer promotion

schemes and availability of latest services; and price measured in terms of tariff rates,

overall billing costs and costs of calls were significant determinants of customer

satisfaction. More studies, however, focused solely on service quality as a significant

driver of customer satisfaction. Although not based on a service firm, Feng, Wang, and

Prajogo (2014) found that customer service can significantly impact customer satisfaction

based on an analysis of theory-based structural equation model.

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Conceptual Framework

The conceptual framework of this study has two variables: the independent

variable and dependent variable. The independent variables are sex, program and year

level. The dependent variable is the level of satisfaction in online shopping in terms of

product quality, pricing and safety.

Independent Variable Dependent Variable

Personal profile of the Level of Satisfaction in

respondents: Online Shopping:

 Sex  Product Quality

 Course  Pricing

 Year Level  Safety

Figure I. The Independent and Dependent Variables of the Study.

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Definition of Terms

Sex. It refers to the biological characteristic of being a male or a female of the

respondent.

Program. It refers to which program, may it be BSA,BSBA, BSCE, BSCS, BSEE,

BSHM, BSME, BSIT or BSOA the respondents belong during the study.

Year Level. It refers to which year level, may it be 1st Year, 2nd Year, 3rd Year, 4th

Year or 5th Year the respondents belong during the conduct of the study.

Online Shopping. The action or activity of buying goods or services via internet of the

respondents.

Level of Satisfaction. The act of fulfilling a need, desire, or appetite, or the feeling

gained upon receiving the product from online shopping by Garcia College of

Technology students.
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CHAPTER 2

Review of Related Literature

This is the very essential chapter of any dissertation as this chapter provides the

effect as well as concrete knowledge regarding the research topic. In this chapter, divided

into the following: Level of Satisfaction in Online Shopping in Relation to Sex and

Education.

Level of Satisfaction in Online Shopping in Relation to Sex

Findings shows that a slightly larger percentage of women than men opt for online

shopping (72% of women, 68% men). The reasons why approximately 30% of both sex

customers prefer to visit brick-and-mortar shops are mostly the same (Dasha, 2019).

According to other studies, it shows that women outnumber men with respect to both

online shopper population, expenditures and satisfaction despite their concerns regarding

the risks associated with online purchasing (Dai, 2007).

Male consumers are more likely to buy higher-priced items such as grooming products

and electronics. Women, by contrast, tend to buy lower-priced items such as cosmetics

and skincare products. Moreover, when men shop online, they tend to be efficient,

meaning they bulk buy to save time (Thomsen, 2021).

Between male and female sexes, several things are different and these differences also

affect their buying choices and even customer satisfaction. The two sexes have different

needs in terms of fashion and lifestyle. So, their consumer behavior and satisfaction in

these two areas can be vastly different. It is mainly the difference in needs that lead to
 8

differing choices. However, there are several areas where consumption patterns can be

similar too like in terms of food and fun. The same movies and same fast food brand may

appeal to both the sexes. The same is true about technological gadgets too. However,

there are still several products in the market which are meant for either of the sexes not

each. Decision making patterns may also vary between the two sexes (Pratap, 2017).

Level of Satisfaction in Online Shopping in Relation to Education

Education affects how people view things around them. It affects the level of

discretion they employ while making purchases. In this era, education has also become

the determinant of social class and the easiest method to climb up in the society. The

more educated a person is, the higher the level of discretion he will employ in making

purchases. People’s preferences can change with education. Every customer is well

informed in this era. However, the more educated ones take more time before deciding a

purchase. (Pratap, 2017).

Number of things are affected by education including the fashion you wear and

the programs you watch. It affects even your choice of stationary and the magazines you

are reading. It is why same ads do not work with all customers. Highly educated

customers look for information and do not rely on ads alone. They question the

information served before them. If observed carefully, education’s effect can easily be

seen on consumer behavior. An educated customer would weigh his options carefully

before going for a purchase. (Pratap, 2017). The impact of education on the Internet and a

lack of training and education form significant barriers to the adoption of new

technologies (Tarafdar and Vaidya, 2006) .

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CHAPTER 3

METHODOLOGY

This chapter will describe the research method used in conducting this study. The

major source of the data to be used to answer the objectives of this study will be a self-

administered questionnaire. The research environment, research design, target population

and sampling procedure, research instruments, validity and reliability of instrument,

administration of inventory and statistical data analysis will be presented and will be

discussed in this chapter.

Research Environment

This study will be conducted at Garcia College of Technology, specifically on

the first year to fifth year college students taking different courses.

Garcia College of Technology was established in 1968 by the late spouses, Don

Florencio M. Garcia and Doña Enrica Reyes Garcia, parents of Mr. Edwin Reyes Garcia,

the present Chairman of the Board of Directors. It is situated at the heart of Kalibo, the

capital town of Aklan.

Research Design

This study will use descriptive and correlational method of research. Descriptive

research design will be used to accurately and systematically describe a population,

situation or phenomenon (McCombes,2020). Correlational method, this design will be

used to determine the relationship between two or more variables using a statistical data

with no manipulation of an independent variable. Correlational research usually have

possible outcomes that will determined the relationship of the study if the results will be

have a positive correlation, negative correlation, or no correlation and cannot prove cause
 10

and effect relationship. (Price et. Al, 2015) This study will be conducted using survey

questionnaires to collect the data.

Table 1. Distribution of Respondents.

Programs 1st 2nd 3rd 4th 5th Population Sample Percent

Yea Year Yea Year Year Size
r r
BSA 150 131 73 8 362 78 28
BSBA 81 100 147 328 74 25
BSCE 108 79 79 21 287 65 22
BSCS 4 1 4 9 2 1
BSEE 24 24 29 16 93 21 7
BSHM 25 23 23 1 72 19 5
BSIT 18 19 23 60 16 5
BSME 16 24 25 16 81 18 6
BSOA 5 10 4 19 4 1
TOTAL 431 411 407 9 53 1,311 297 100

Target Population and Sampling Procedure

The respondents to be selected in this study will be the Garcia College of

Technology college students of the Second Semester, School Year 2020-2021. Garcia

College of Technology has nine courses. These courses are Bachelor of Science in

Accountancy (BSA), Bachelor of Science in Business Administration (BSBA), Bachelor

of Science in Civil Engineering(BSCE), Bachelor of Science in Computer

Science(BSCS), Bachelor of Science in Electrical Engineering (BSEE), Bachelor of

Science in Hospitality Management (BSHM), Bachelor of Science in Information

Technology (BSIT), Bachelor of Science in Mechanical Engineering (BSME) and

Bachelor of Science in Office Administration (BSOA).

To find out the total number of students in Garcia College of Technology college

department, the third group asked for the copy of the list of students from the Registrar.
 11

After obtaining a copy, the researchers determined the total number of college

students which is two thousand and forty two (2,042). The next thing the researchers did

was to find out how many of those participants will be included in the study.

A presurvey was conducted afterwards to determine the number of college students

who have experience in online shopping. The researchers determined that one thousand

three hundred fourteen (1,314) answered "yes" and three hundred seventy six (376)

answered "no." Those who answered "yes" will be the respondents of the study.

To determine the desired sample size, the formula that used by the third group is:

NZ 2 [ p ( 1−p ) ]
n= 2 2
Nd + z [ p ( 1− p ) ]

Where:

n – the desired sample size

N – population

z – the standard normal deviation, set at 1.96

p – the proportion if the target population estimated to have a particular

characteristics, 50 percent (.50)

d – degree of accuracy desired, usually at .05

Out of the 1,311 college enrollees of Garcia College of Technology who has

experience in online shopping, a sample of two hundred ninety seven (297) will be

included in this study using the multi-stage random sampling composed of stratified and

systematic random sampling.

1. Next, the researchers will take the sample size in each program. BSA has three

hundred sixty two(362) students; BSBA has three hundred twenty eight (328); BSCE has
 12

two hundred eighty seven (287); BSCS has nine (9); BSEE has ninety three (93); BSHM

has seventy two (72); BSIT has sixty (60); BSME has eighty one (81); and BSOA has

nineteen (19) students. Stratified Random Sampling will be used by the researchers in

obtaining the sample size in each course to be shown in Table 2. BSA has seventy eight

(78) respondents; BSBA has seventy four (74); BSCE has sixty five (65); BSCS has two

(2); BSEE has twenty one (21); BSHM have nineteen (19); BSIT has sixteen (16);

BSME has eighteen (18); and lastly, BSOA has four (4) students.

Table 2. Population, Sampling Fraction and Sample Size per Program

Course Population Sampling Fraction Sample Size

BSA 362 362/1311x297 78
BSBA 328 328/1311x297 74
BSCE 287 287/1311x297 65
BSCS 9 9/1311x297 2
BSEE 93 93/1311x297 21
BSHM 72 72/1311x297 19
BSIT 60 60/1311x297 16
BSME 81 81/1311x297 18
BSOA 19 19/1311x297 4
TOTAL 1,311 297

2. After determining the sample size in each course, the researchers will determine

who will be the respondents using the systematic random sampling with a random start.

The name on the list that will come from the Registrar will be numbered. BSA is

numbered from one to three hundred sixty two (1-362), BSBA is numbered from one to

three hundred twenty eight (1-328), BSCE is numbered from one to two hundred eighty

seven (1-287), BSCS is numbered from one to nine(1-9), BSEE is also numbered from

one to ninety three (1-93), BSHM, numbered from one to seventy two (1-72), BSIT is

numbered from one to sixty (1-60), BSME, from one to eighty one (1-81) and BSOA
 13

from one to nineteen (1-19). After numbering the names of the students in each strand,

the researchers will find the Sampling Interval (k).

The formula used in solving the Sampling Interval (k) is:

N
k=
n

where:

k = sampling interval

N = population

n = number of respondents

The sampling interval (k) the result is six (4), to determine the random start on

each strand. The researchers will choose a number from 1-362 in BSA, from 1-328 in

BSBA, from 1-287 in BSCE, 1-9 in BSCS, from 1-93 in BSEE, from 1-72 in BSHM,

from 1-60 in BSIT, from 1-81 in BSME and from 1-19 in BSOA. The number has

random start with twenty three (23) for BSA, ten (10) for BSBA, fifty eight (58) for

BSCE, two (2) for BSCS, forty two (42) for BSEE, eighteen (18) for BSHM, thirty (30)

for BSIT, eight (8) for BSME and five (5) for BSOA. After selecting the numbers, the

last thing the researchers will do is to take a sampling interval (k) of six (6) to find out

which of the students at Garcia College of Technology college department will be the

respondents.
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Research Instruments

To gather suitable data, the researcher will use a self-administered questionnaire.

The questionnaire is divided into two parts, the first part pertains to the socio-

demographic profile of the respondents who answered ''yes" in the conduct of presurvey

pertaining if they do online shopping and the second part of the questionnaire will deal

with the level of satisfaction of the respondents towards online shopping.

Demographic profile. This consists of items regarding the respondents'

characteristics such as sex, year level and program.

Level of satisfaction towards online shopping. This part of the questionnaire will

measure the level of satisfaction of the college students of GCT in online shopping.

There will be 9 questions to be answered through tapping on the corresponding

answer they will choose. The choices are:

*Very Satisfied

*Satisfied

*Not Satisfied

Validity of the Research Instrument

The instrument will be examined and validated for content by an expert who has

enough knowledge and ability. After checking and further corrections, the questionnaires

will be revised to be able to secure and obtain that relevant information will be achieved.
 15

Reliability of the Research Instrument

To test the reliability of the questionnaire, internal consistency method will be used

with the help of split-half procedure.

The researchers will assess the items of questionnaire and determine if the items

measure the variables that will be studied.

Administration of Inventory

Prior to the administration of questionnaires, the researchers will write a letter to

ask for permission to conduct a study. The study will be using google forms in

distributing the questionnaires to the 297 respondents. After answering the questions, the

researchers will ensure and check if the questions are all answered properly. After the

survey, the data will be analyzed properly to form an accurate interpretation.

Data Collection

Before the questionnaire will be administered, the researcher will conduct an

orientation on the purpose of the study during the presurvey through personal online

messaging. Instructions on how to answer the self-administered questionnaires will be

written on the introductory part of it.

After the respondents have answered all the items, the researchers will gather the

data and will be tabulated. The data to be gathered by the researchers will be analyzed

and interpreted using the appropriate statistical tools.

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Statistical Data Analysis

The data to be gathered for this study will be encoded in Microsoft Excel and will be

computer processed using the Statistical Package for the Social Sciences (SPSS)

In this research, the descriptive statistics such as frequency count and percentage,

and for correlation analysis, the chi-square test will be used. The profile of the

respondents like the sex, year level and program will be analyzed using frequency

distribution and percentage. the relationship between the profile of the respondents in

terms of sex, year level and program and the level of customer satisfaction in online

shopping will be analyzed using the chi-square method. These analytica techniques will

be used by the researcher which will help in getting more authentic and valuable

information related to the research topic and which will help in drawing up a valid

conclusion to the research.

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