Analysis of Factors Influencing Consumer Behavior of Synthetic Diamonds in Shanghai through Product Differentiation

Baoquan Hu; Zhan Wang

doi:10.60027/iarj.2026.e293426

Authors

Baoquan Hu Bangkok Thonburi University, Thailand https://orcid.org/0009-0007-5884-5507
Zhan Wang Bangkok Thonburi University, Thailand https://orcid.org/0009-0006-7750-0400

DOI:

https://doi.org/10.60027/iarj.2026.e293426

Keywords:

Lab-grown Diamond, Consumer Behavior, Product Differentiation, Structural Equation Modeling, Technology Acceptance Model, Shanghai Market

Abstract

Background and Aim: The global market for lab-grown diamonds (LGDs) is expanding, yet the drivers of consumer acceptance in key markets like China remain underexplored. This study investigates the factors influencing Shanghai consumers' purchasing behavior, with a specific focus on the mediating role of product differentiation.

Materials and Methods: Drawing on the Technology Acceptance Model (TAM) and Social Value theory, a conceptual model was developed. Data were collected via an online questionnaire from 561 consumers in Shanghai who had purchased LGDs. Structural Equation Modeling (SEM) was employed to test the hypothesized relationships and mediation effects.

Results: The results confirm that Perceived Ease of Use (β=0.28, p<0.001), Perceived Usefulness (β=0.31, p<0.001), and Social Value (β=0.40, p<0.001) significantly influence Purchase Behavior. Crucially, Product Differentiation was found to partially mediate these relationships, with a significant indirect effect (β=0.12, p<0.01). Demographic analysis revealed that higher education levels correlated with lower perceived usefulness, suggesting a more critical consumer segment.

Conclusion: This study empirically validates a TAM-based model enhanced with social value, demonstrating that product differentiation is a pivotal mechanism through which cognitive and social perceptions translate into purchase behavior. The findings offer actionable insights for LGD marketers in Shanghai, emphasizing the need for targeted communication that highlights ethical, environmental, and innovative product differentiators to appeal to a diverse consumer base.

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