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The aim of the research reported is to investigate consumers’ reactions to advertisements containing misleading information on price. The underlying thesis is that such advertising generates negative consumer reactions in terms of attitude and intention and that these are heightened in the presence of suspicion. This study investigates the negative influence of consumer’s perceptions of online retailer’s deceptive practices (perceived deception) on consumer’s relational variables (satisfaction and loyalty intentions to the online retailer). Also, the moderating role of product type (goods versus services), consumer’s attitude toward the Internet, and consumer’s demographics in the deception-relational outcomes link is considered. Data from 398 online consumers revealed that satisfaction totally mediated the influence of deception on loyalty. Furthermore, the deception-satisfaction link was moderated by all the hypothesized variables. Interestingly, a direct effect of deception on loyalty was found among more educated consumers, consumers who had a more positive attitude toward the Internet and consumers who had purchased a physical product. Implications for theory and management are discussed.

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How to Cite
Iswarya.J, & Suba.A. (2017). Online shopping and issues of misleading advertisements . International Journal of Intellectual Advancements and Research in Engineering Computations, 5(2), 2044–2055. Retrieved from