The Impact of Electronic Word-of-Mouth on Scuba Diving Purchasing Decisions in Hong Kong

Research Report 1
THE IMPACT OF ELECTRONIC WORD-OF-MOUTH ON THE PURCHASING DECISION
MAKING OF PEOPLE IN HONG KONG IN RELATION TO SCUBA DIVING
Student’s Name
Course Title
Instructor’s Name
Institution Affiliation
October 15, 2018

Research Report 2
I. Abstract
Considerable developments in the Online Social Sites (SNS) segment, which have
resultantly expanded the implication of the electronic Word of Mouth (eWOM) on potential
clients’ purchasing choice, are evident in research. A thorough evaluation of relevant sources of
literature revealed that there are gaps in research that are still unfilled. Further comprehension
concerning the implication of reviews, comments and opinions in relation to the purchasing
behavior of consumers is pending (Moran, Muzellec and Nolan, 2014). This report develops a
critical evaluation of the problem and results, which illustrate the effects of reviews on
consumers’ purchasing behavior. Findings show that online scuba diving shoppers are influenced
by opinions delivered through eWOM, while many potential consumers rely on views posted on
websites as a pivot source of information when purchasing scuba diving services. According to
Babić et al., (2016), depending on online customer reviews the relevance of eWOM to include
individual analysis and commentary over a product after spending funds and experiencing the
value of the product. The eWOM is a reliable source of information that develops consumer
insights over a particular products or service. Moreover, businesses can use reviews to correct
and set upgrading measures over respective products and services to achieve customer
satisfaction (Filieri, Alguezaui and McLeay, 2015). Using online reviews, various scuba diving
consumers share their experience hence affecting decisions made by new online clients in Hong
Kong. The eWOM provides relevant components of online purchasing decisions such as the
level of risks perceived by potential consumers.
Keywords: Electronic Word of Mouth (eWOM), Scuba Diving, Hong Kong

Research Report 3
II. Introduction
The tradition WOM majorly centered on people meeting to share comments or opinions
regarding services and products being transacted (Cheung and Thadani, 2012). As for eWOM,
sharing of reviews has been developed to exploit contemporary technology. In reference to
Cheung, Xiao and Liu (2014), the initiation and development of the digital era focusses on
establishment of the internet and computation that has enabled the assessment and access of
purchasing trends. Scuba diving consumers have embraced the significance of Web 2.0
(Facebook, Twitter, and Instagram among others) tools in posting reviews, exchanging
information, critiques and opinions. Online platforms consist of; review sites, digital newspapers
columns, discussion forums, news-groups and social networking sites (RIEFA, 2017). Actually,
eWOM has identified new means of asserting the value of scuba diving services through a digital
form of communication that is exciting to concrete consumer research.
There is a perceptible gap in research, related to scuba diving in Hong Kong, with limited
sources of literature concerning consumer-purchasing decisions in relation to reviews offered
online, have been published (Luo and Zhong, 2015). This report critically analyzes the influence
of eWOM on the buying choice of consumers in HK in relation to scuba diving. It analytically
studies the effect of online opinions and comments concerning potential clients’ decision to
purchase the service in relation to the reputation of both the reviewer and service provider (Erkan
and Evans, 2016). In consideration of an intellectual perspective, the analysis is focused on
delivering a critical insight on techniques of developing readers’ understanding on digital
reviews and how it affects consumers’ buying behavior in HK’s context. The fundamental
purpose of the report is to determine how scuba diving consumers react and view eWOM. In that
case, the paper’s objectives majors on determining if:

Research Report 4
 Online service reviews affect scuba diving consumers’ buying behavior (if consumers
rely on it as a pivot source of information)
 Characteristics on opinions like; reliability, consistency and truth of opinions affect
purchasing decisions
 Service (positive and negative) rating affect purchasing behavior
 Service and reviewers’ features like; frequency, residence, age, gender and identity and
how they affect purchasing behavior
 Characteristics of site offering online comments and opinions like; popularity, reliability
and global influence affect purchasing behavior (Baum, 2014)
III. Methodology
Context and Setting of the Study
The report is focused on examining scuba diving service provisions to conduct a thorough
evaluation of the influence eWOM on purchasers’ decision-making. Findings and result of the
analysis is helpful for businesses to enable the study of purchasing trends of scuba diving
consumers as well as recognizing new ventures on how to promote and upgrade services.
According to Hajli et.al, (2014), when information about a product or service is being searched,
promoters are able to influence the choices of consumers hence stimulating effective product
performance and enhancement. Using service reviews, potential clients will be thrilled to bargain
and be cautions with scuba diving service providers in Hong Kong before making final
purchasing decisions (See-To and Ho, 2014). The research was set to involve 150 participants
(36% male and 64% female) who were classified according to age, level of education,
employment status, internet usage and the duration spent surfing the web. Approximately 14% of
the participants had attained an education level than high school degree more participants

Research Report 5
(40.7%) had earned a high school degree and its equivalent. Approximately 30% of the
population had bachelor degrees while 15.3% were with graduate degrees and none had any
other undefined qualifications. The mean dependability co-efficient of the report was applied to
ensure that factors in line with measures are dependable. Following a thorough evaluation of
data, the mean dependability co-efficient and Cronbach’s Alpha of the entire survey resulted to
0.8. The value surpassed the acclaimed target of 0.7 hence signifying the dependability of
measure factors for scuba divers.
Study Design
The report applied a qualitative approach in developing a critical evaluation of scuba
diving decisions influenced via web 2.0 tools. The approach is exercise by scrutinizing
consumers’ reviews and comments in relation to purchasing trends that influence new
consumers’ decisions. Different reviewing factors influence the level of consumer stimulus of
eWOM on scuba diving decision. However, there are many questions left unanswered regarding
the scuba diving decisions in Hong Kong (Lerrthaitrakul and Panjakajornsak, 2014). Resultantly,
further research is required to comprehend on affective, behavioral and cognitive inferences of
eWOM on scuba diving consumers (Kietzmann and Canhoto, 2013).
Population
Different groups of HK’s population that included 54 males and 96 female inhabitants
were allowed to answer survey questions. Relevant invitees included individuals from various
educational backgrounds in Hong Kong. The study also critically considers individual usage of
the internet and time spend on different social sites such as Facebook, Instagram, Twitter and
others which results to 64%, 17.3%, 16.7%, and 2% usages respectively. The participants were
contacted through all the mentioned social media platforms to undertake a survey, which led to

Research Report 6
collection of 150 valid answers regarding the impact of eWOM in purchasing decisions
regarding scuba diving services in Hong Kong.
Sampling Strategy
A Stratified random sampling technique was applied in different survey situations to
obtain batch information regarding the subject. The strategy was used because the HK population
has been classified into different groups and strata incorporating analysts required to ensure
every section of participants has been represented (Sparks, Perkins and Buckley, 2013). In every
group, an independent sample was extracted and its size proportional according the reflective
niche of online consumers.
Variables
The variables are social networking services, eWOM, purchasing decision and perception
of services. All these concepts depend on each other and should be implemented and measured in
the entire research (Yoo, Kim, and Sanders, 2015). The research objective was attained with the
assistance of survey questions that began with queries on gender and age indicators and
progressed to other variables (determining eWOM using social networking services, service
perception and buying decision).
Instrument
The study styles applied in the research aims at answering 16 questions in reference to the five-
pointer Likert gauge. These questionnaires included sections (questions 1 to 6) that collected
demographic information and three other relevant sections that collected statements of online
reviews 7-10, reviewers’ characteristics (questions 11-12) and service provider of the online
comments (questions 13 to 16).
Procedure