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Identifying the Benefits and Risks Associated with Flash Sale Websites and Their Potential Implications for Return Customers Identifying the Benefits and Risks Associated With Flash Sale Websites and Their Potential Implications for Return Customers by James Brian Aday, B.B.A., M.S. A Dissertation In HOSPITALITY ADMINISTRATION Submitted to the Graduate Faculty of Texas Tech University in Partial Fulfillment of the Requirements for the Degree of DOCTOR OF PHILOSOPHY Approved Dr. Kelly Virginia Phelan Chair of Committee Dr. Shane Blum Dr. Alan Reifman Dominic Casadonte Interim Dean of the Graduate School May, 2013 Copyright 2013, James Brian Aday Texas Tech University, James Brian Aday, May 2013 ACKNOWLEDGEMENTS The dissertation contained within the following pages is the result of countless hours of work and effort from me, and numerous individuals. It would be a disservice not to acknowledge the individuals that contributed to the completion of this study and aided, guided, motivated, and stood by me in my pursuit of the doctoral degree. There are numerous individuals who have contributed to my success as a graduate student, and I thank all of you. I would like to specifically thank my fellow graduate students and those in our Ph.D. group. Thank you for your motivation and encouragement during this whole process. I would like to personally thank Dr. Shane Blum for his contributions, especially during the formulation of interview and survey items. Your expertise guided the creation of measurement instruments which provided the findings presented within this study. To Dr. Alan Reifman, I thank you for your insight and wisdom related to all things SEM. Your input and proficiency were instrumental to the success of this dissertation and the time you willingly provided to help me during statistical analysis was incredibly generous. I am a very lucky and incredibly fortunate graduate student. When I was working on my master’s thesis my path crossed that of Dr. Kelly Virginia Phelan, who eventually became my mentor and so much more. Dr. Phelan, words cannot express the gratitude, respect, and admiration I have for you. You have served numerous roles in my studies including chair, mentor, boss, advisor, and friend. This study would have never come to fruition without your countless hours of work, constant pushing, ii Texas Tech University, James Brian Aday, May 2013 “Mighty Red Pen”, “Eyes of Shame”, and consistent encouragement. You pushed me to demand more from myself than I wanted to give, but it made this whole process and my entire graduate studies something I will forever cherish. I have the utmost respect for you, and thank you with all that I have for everything you have done for me. I could not have accomplished this research or my doctoral degree without the support of my loving wife. Your understanding, insight, editing, and tolerance of me during this whole process are something I will never be able to repay. Thank you for being my rock on the bad days as well as the good. The countless nights and days I was away from home typing away in my office were not easy, and you never once complained. I am forever grateful to you. Finally, to my sons Jeremy and Jace Aday, sometimes life throws you a major curveball and you are forced to adapt. This study is for you two, and symbolizes the dedication your mother and I have to you both, and the quality of life we desire to provide. iii Texas Tech University, James Brian Aday, May 2013 TABLE OF CONTENTS ACKNOWLEDGEMENTS ......................................................................................... ii ABSTRACT ................................................................................................................. xi LIST OF TABLES .................................................................................................... xiii LIST OF FIGURES .................................................................................................. xiv I. INTRODUCTION .................................................................................................... 1 1.1 Statement of the Problem ..................................................................................... 4 1.2 Purpose of Study .................................................................................................. 4 1.3 Study Objectives .................................................................................................. 4 1.4 Limitations ........................................................................................................... 6 1.5 Assumptions ......................................................................................................... 7 1.6 Significance of the Problem ................................................................................. 8 II. REVIEW OF LITERATURE .............................................................................. 11 2.1 Electronic Marketing .......................................................................................... 11 2.1.1 History. .................................................................................................................................. 12 2.1.2 Growth. ................................................................................................................................. 13 2.1.3 Importance. ........................................................................................................................... 15 2.1.4 Financial. ............................................................................................................................... 17 2.2 Types of Electronic Advertising Mediums ........................................................ 18 2.2.1 Mobile platforms. .................................................................................................................. 18 2.2.2 Social media. ......................................................................................................................... 20 iv Texas Tech University, James Brian Aday, May 2013 2.2.3 Direct e-marketing. ............................................................................................................... 23 2.2.4 Email and listserv. ................................................................................................................. 24 2.2.5 Databases. ............................................................................................................................. 25 2.2.6 Viral. ..................................................................................................................................... 27 2.2.7 Pop-up ads. ............................................................................................................................ 28 2.2.8 Banner ads. ............................................................................................................................ 28 2.3 Online retailers ................................................................................................... 29 2.3.1 Amazon.com. ........................................................................................................................ 30 2.3.2 eBAY.com. ............................................................................................................................ 31 2.4 Social Exchange Theory .................................................................................... 32 2.4.1 Purpose of SET. .................................................................................................................... 35 2.4.2 Justice and social exchange. .................................................................................................. 37 2.4.3 SET in the service industry. .................................................................................................. 40 2.4.4 SET and social status. ........................................................................................................... 41 2.4.5 Applications of SET. ............................................................................................................. 42 2.4.6 SET and customer loyalty. .................................................................................................... 43 2.4.7 SET in the marketing environment. ...................................................................................... 45 2.4.8 SET in tourism research. ....................................................................................................... 46 2.4.9 Problems associated with SET. ............................................................................................. 47 2.4.10 Previous models. ................................................................................................................. 49 2.5 Purchase Motivation .......................................................................................... 52 2.6 Group Purchase Decisions ................................................................................. 53 2.7 Theory of Planned Behavior .............................................................................. 55 2.8 Product Driven Consumers ................................................................................ 58 2.9 Approach-Avoidance ......................................................................................... 59 2.9.1 Online environment. .............................................................................................................. 60 2.10 Behavior Theory............................................................................................... 62 v Texas Tech University, James
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