PERCEIVED RISK FACTORS BY PERSONAL COMPUTER USERS IN THE PRE–PURCHASE PHASE: A CASE OF USERS IN DIFFERENT INCOME GROUPS IN NAKURU SUB COUNTY, KENYA

Abstract

Personal computer ownership is still low in Kenya despite significant progress made in personal computer development, the many benefits to be derived from computer usage and the many initiatives put in place by the Kenya Government to encourage ownership and usage. Purchase of a personal computer still remains a risky undertaking where decisions must be made notwithstanding the complexity of the product. Previous works on risk management established several inhibiting factors in other contexts. This study investigated perceived risks of personal computer users in Nakuru sub county in the pre purchase phase and posited that perceived risk factors do not significantly differ among the lower, middle and upper income groups and that overall perceived risk levels among the income groups are not significantly different in the pre – purchase phase of personal computers. Purposive sampling was used to select 60 respondents. Study findings revealed significant differences in the overall perceived risk levels among the upper, middle and lower income groups and that of the risk factors under study, financial, functional, social and psychological risk factors showed significant difference among the three income groups while physical and time risk factors showed no significant differences.