Factors Affecting Consumers’ Intention to Use Mobile Ride Hailing Services in Developing Countries

Abstract

Sharing economy services are growing very quickly, including with successful implementations such as mobile ridehailing services, where by consumers and drivers can coordinate to share rides. This research investigates factors that are affecting consumers’ intention to use mobile ridehailing services in developing countries. The research data was collected in June 2021 from Jordanian consumers using an online questionnaire. The collected data was then analyzed to verify the research hypothesizes using Partial Least Squares Structural Equation Modeling (PLS-SEM). The empirical findings indicate that personalized benefits positively attract consumers to use mobile ridehailing applications. The findings also show that consumers’ privacy concerns negatively affect consumers’ intention to use mobile ridehailing applications. Moreover, the findings also show that the role of laws and regulations is significant in such contexts as it decreases the negative interaction between privacy concerns and consumers’ intention to use ridehailing applications. Accordingly, this research suggests that ridehailing practitioners should focus on providing more convienent services and at the same time governments and policy makers should provide protective legislations to overcome user’s privacy concerns.