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A preliminary assessment of different trust formation models: the effect of third party endorsements on online shopping

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3 Author(s)
Shek, S.P.W. ; Dept. of Inf. Syst., City Univ. of Hong Kong, China ; Choon-Ling Sia ; Lim, K.H.

This study investigates two trust building models - Mayer's factor-based model, and McKnight's process-based model of trust formation. It critically outlines the two different models of trust formation and adapts them for application in an online environment. Through a series of case studies we undertake a preliminary assessment of which model fits better to online shopper behaviors. We use the cases and interviews of online shoppers to understand how trust is formed in new online shopping experiences, and develop preliminary insights into the effectiveness of third party endorsements for trust building. We focus on comparative impact of satisfied customers' individual endorsements and portal affiliation. The findings of interviews raise our understanding of online trust formation and online consumer buying intentions. Also, this study raises a number of hypotheses, and suggests how Internet firms should utilize different endorsement strategies.

Published in:

System Sciences, 2003. Proceedings of the 36th Annual Hawaii International Conference on

Date of Conference:

6-9 Jan. 2003