Perceived Risk and Online Purchase Intention of E-Pharmacy: Examining the Moderating Role of Online Trust in the Indian Context

Abstract

Online pharmacies in India are facing the challenge of creating market share and consumer relevance within e-commerce segment. This paper aims to empirically explore the drivers and barriers of online purchase intentions, namely perceived risk and online trust among non-adopters of online pharmacy. It proposes a model explaining how risk dimensions of perceived risk towards online pharmacy impacts online consumers’ purchase intention and the moderating effect of online trust in its relationship. Sample size of 740 online consumers was considered in the study and the technique of Structural Equation Modelling, SPSS and Hayes Process were employed. An online and offline questionnaire was administered at internet users who had prior online shopping experience. Confirmatory factor analysis was used to evaluate the research constructs, validity, and composite reliability. The results of the study demonstrate that perceived risk is a significant factor influencing online purchase intention toward online pharmacy in India.