›› 2020, Vol. 32 ›› Issue (2): 151-164.

• Technology and Innovation Management • Previous Articles     Next Articles

Who Is More Likely to Open Online Shop: A Study Based on Previous Experience and Legality

Zhang Yanhui1, Zhang Chunkai1, Li Zongwei2   

  1. 1. School of Business, East China University of Science and Technology, Shanghai 200237;
    2. School of Business, Shanghai University of Engineering Science, Shanghai 201620
  • Received:2017-06-05 Online:2020-02-29 Published:2020-03-07

Abstract:

To answer the question "who is more likely to open online shop", this study takes previous experience and legality as the main line to study the factors influencing entrepreneurs' decision-making. Based on the analysis of Jiaxing statistic data, this study finds that people with online shopping experience and self-employed experience are more likely to open online shops, the impact of online shopping experience is stronger in rural areas. However, there is no difference between urban and rural areas considering the self-employed experience. The number of online shopping platform does not affect online shopping. The earlier online shopping experience a person has, the more likely he or she is to open an online shop and the earlier he or she may open the online shop. While individual suppliers for the online shops are also likely to open online shop, they don't act early. The investigation of legitimacy factors finds that self-employed businesses without business license are more likely to open online shop in order to relieve the pressure from legitimacy issue. This study confirms the traditional view that previous experience has an impact on entrepreneurial behavior is still applicable in the research of electricity business and reflects the uniqueness of e-business entrepreneurship in China. This conclusion is important for entrepreneurial research, entrepreneurial practice and policy making.

Key words: e-commerce entrepreneurship, entrepreneurs, previous experience, legitimacy