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The Research on the Relationship Between Corporate Website Functionalities and Corporate Stock Price

Ever since the internet technology was developed in 90's, like radio, television andnews paper, it has become one of the most influencial medias. Comparing withtraditional media, internet performs significantly better on on-time information providing, communication, geography limitation and globalization. Not only the cost of seting it up is low, but also the speed of its information transmitting is fast. Therefore lots of firms set up their corporate websites and use its functionalaities to help their marketing and customer service.
The most important factor that decides the quality of a corporate website is the website functionalities. The definition of "website functionalities" is wide. It contains many kinds of abilities that a website has. To help corporates/firms build corporate websites that can help their sales and services the best, this research intends to find out the relationship between companies' stock prices and their corporate website
functionalities, and finally find out the website functionalities that can help firms' business performance and rank the website functionalities from the most important one to the least important one.
This research takes stock information from the "Taiwan Stock Exchange Market Observation System" website. The information taken are the stock price, capital size and industry category. The size of the sample is 150 companies. This research developes a grading system that evaluates companies' performances on functionalities that were defined by Liu (1997)'s research on "Corporate Website Content" and Ghose& Dou(1998)'s research on "Corporate Website's Interactive Functionalities". This grading system gives a score to each of the 150 companies, and then analyzes the relationships between each company¡¦s score and its stock price/capital size/industry category.
This research has a result showing that for the website functionalities that are related to a corporate's stock price, from the most significant related to least
significant related can be ranked as "Customer Surpporting Functionality", "Website Information Functioanlity", "Advertising/Exhibiting/Broadcasting Functionality" and "Personalization Functionality". Considering industry category, companies in
"Finance/Insurance" and "Transpotation industry" have highest scores on website functionalities. Companies in "high-tech industry" are the second. Companies in "conventional industries" score the lowest. Considering capital size, companies with
capital size of "more than 5 billion NTD" have the highest score on website functionalities. Companies which have capital sizes of "2 ~ 5 billion" and "less than 2billion" have lower scores.

Identiferoai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0618110-150918
Date18 June 2010
CreatorsLin, Tsung-yi
ContributorsHsien-tang Tsai, Tsuang Kuo, Iuan-yuan Lu
PublisherNSYSU
Source SetsNSYSU Electronic Thesis and Dissertation Archive
LanguageCholon
Detected LanguageEnglish
Typetext
Formatapplication/pdf
Sourcehttp://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0618110-150918
Rightsnot_available, Copyright information available at source archive

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