A model of customers' initial trust in unknown online retailers: an empirical study

Euijin Kim and Suresh Tadisina

International Journal of Business Information Systems, 2010, vol. 6, issue 4, 419-443

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.

Keywords: 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. (search for similar items in EconPapers)
Date: 2010
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Citations: View citations in EconPapers (1)

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