Does Electronic word-of-mouth (eWOM) on Social Media leads to Information Adoption? Empirical Evidence from the Emerging Markets!

Abstract

With the amplification in online retailing, electronic word-of-mouth (eWOM) is reckoned to be one of the most influential factors in consumers online purchase behaviours. Prior studies have emphasized on determining the effects of eWOM using discussion forums, shopping websites, consumer review websites and blogs as the platforms; but the current study has focused to investigate eWOM effects in the social media context. Congruently, before the purchase intentions and consumer decision making endeavours are executed, it is necessary to investigate the propensity of information being adopted by the consumers. In this regard, the study focused on how eWOM has been making an impact on the information adoption process of consumers. Sequential mediation effects of perceived risk, argument quality, information usefulness, and trust have been determined among eWOM and information adoption. The data was collected from 346 online shoppers using non-probability convenience sampling technique. Structural Equation Modelling on Mplus software was conducted for substantiating causality among constructs. Results attained affirmed the established theoretical relationships.