A model of customers' initial trust in unknown online retailers: an empirical study. (4th October 2010)

• Record Type: Journal Article
• Authors: Kim, Euijin; Tadisina, Suresh
• Is Part Of: International journal of business information systems. Volume 6:Number 4(2010)
• Page Start: 419
• Page End: 443
• Publication Date: 2010-10-04
• Subjects: initial trust -- competence -- goodwill -- company profiles -- third-party support -- corporate websites -- internet -- world wide web -- unknown retailers -- online retailing -- e-tailing -- virtual shopping -- customer attitudes -- e-commerce -- electronic commerce -- web-based companies -- e-business -- electronic business -- trust models -- sustainable relationships -- website quality -- propensity to trust -- USA -- United States -- characteristic-based factors -- institution-based factors -- personality-based factors; Information storage and retrieval systems -- Business -- Periodicals; Business -- Data processing -- Periodicals; Management information systems -- Periodicals; System design -- Periodicals; System analysis -- Periodicals; 651.8
• Languages: English
• ISSNs: 1746-0972

Abstract

Trust is considered one of the key success factors of e-commerce, and winning customers' trust initially is especially important for web-based companies (e-businesses), as initial trust could be a starting point from which more sustainable relationships could possibly develop. In answering the question of how e-business customers develop initial trust especially in unknown online retailers, we propose a model with a two-factor initial trust model (competence and goodwill) and three different types of predictors: two trustee's characteristic-based factors (company profile and website quality), one institution-based factor (third-party support) and one trustor's personality-based factor (propensity to trust). This model was empirically tested and we found some evidence that website quality and third-party support had significant effect on initial trust. Company profile and propensity to trust didn't have any direct effects on initial trust, but a type of propensity to trust showed some moderating effects.