The Economics of Para-social Interactions During Live Streaming Broadcasts : A Study of Wanghongs

The rapid growth of economic transactions generated by live streaming broadcasts (“LSB”) has created opportunities for retailers to increase sales. However, little is known about what impact LSB celebrities have on customers and what causes LSB celebrities to become famous. This study aimed to fill this gap by studying the economics of LSBs. This study was conducted through a para-social relationship and attractiveness theory framework. Consequently, social and task attraction were assumed to be the antecedents of the para-social relationship that induced purchase intention. This study examined the impact of relationship rewards, self-disclosure, affective interactivity, informative interactivity, and the amount of information provided on purchase intentions through LSB. Celebrities can use the results of this study to enhance their appeal to fans and promote customers’ purchase on e-commerce. This study contributed to the IS field by investigate the impact of para-social relationship on the online shopping context.