Li, Rong. Kim, JaeJon, Park, JaeSung 270
trust and perceived reputation. This research confirms the significant effects of Chinese shoppers’ trust on purchasing intention. Implications of these findings are discussed for
researchers and practitioners.
Keywords : Internet shopping mall, purchasing intention, trust, e-commerce knowledge,
reputation, risk, PEOU
1. INTRODUCTION
Since 1997, China’s information industry has been developing very rapidly. According to the 19th Statistical Survey Report on Internet Development in China
released in January 2007 by the China Internet Network Information Center CNNIC, 2007, the number of Internet users has reached 137 million. Of these users, 79.1 said
that they would surely or possibly go Internet shopping in the first half of the year. 23.6 of the users replied that they were frequently using an Internet shopping service
when they went on the Internet. In 2006, there were over 30 million Internet users who had an Internet shopping experience.
Despite the fact that Internet shopping malls are now winning more and more customers by providing these customers with a discounted price for products, favorable
price alone may not be sufficient. Trust is still regarded as an order qualifier for consumers’ purchase decisions Doney Cannon, 1997. Consumers are unlikely to
patronize Internet stores that fail to create a sense of trust Jarvenpaa Tractinsky, 1999. Trust can only exist if the consumer believes that the seller has the ability to
provide and deliver goods of the quality expected by the consumer. At this point in time, there is another important question: How can consumers gain trust in an Internet
shopping mall? In traditional contexts, a consumer’s trust has been found to be affected by the seller’s investment in physical buildings, facilities, and personnel Doney
Cannon, 1997. We note, however, that since there is no physical contact between consumers and sellers in an Internet shopping mall, it is reasonable to suggest that a
consumer’s trust is affected by the consumer’s characteristics, instead of some actions of the seller’s .
The purpose of this study has been to identify factors which may affect the purchasing intention in B2C market and examine the relationships among the identified
factors. For this purpose, we conducted an empirical study on Chinese users using Internet shopping malls.
2. THEORETICAL BACKGROUND 2.1 Trust
Trust has been conceptualized by many prior researchers. In this paper, we only discuss the concept of trust in an Internet shopping mall or e-commerce context
because the concept of “trust” is so broad. We, now, briefly discuss several prior
R. Gest. Tecn. Sist. Inf. RGTSIJISTEM Journal of Information Systems and Technology Management, Brazil
reputation, risk, PEOU
1. INTRODUCTION N
N
Since 1 19
1997, Chin a
a’ a
s s
in in
in f
fo f
rmat at
t io
io ion
n n
in in
in du
du du
st st
st ry
ry ry ha
ha ha
s s
s be be
be en
en en
developing g
g very rapidly. According t
to to the 19t
9 9
h Stat at
at is
s s
ti t
t cal Survey
y Rep
p ort on I
I I t
nt nt
er er
er ne
n n
t De De
e velopmen
en nt
t in China
released i i
i n
n Januar ar
r y
y y
20 20
20 07 by the
e e
Ch Ch
Ch i
in in
a In
te e
rnet N
N N
t et
et wo
wo wo
rk r
Informa a
ma ti
ti ti
on on
on Center
C NNIC,
2007, t t
t h
h he num
m be
be be
r r
r of
of of
I I
nt er
r ne
ne ne
t t
t users has reac
ch hed 137 milli
i on
on n
. .
Of O
the h
h se
se se u
u u
se se
e rs
r , 79.1
1 1
said that t
t t
h h
hey wo w
w ul
ul ul
d d
d su
s rely
y y
o o
r p
possibly go Inte er
rnet shopping in n
th th
he e
e firs
t t
t ha ha
ha lf
lf lf
o o
o f the
ye y
y ar.
23.6 6
6 of t t
t he
he he
u u
u sers r
r r
e ep
ep lied tha
ha t they were fr
fre equently using
g a
n Inte ern
rn rnet sho
ho ho
pp pp
pp in
in in
g serv
v vice
wh wh
hen the e
y y
y we
we we
nt o o
n n
n th
e Internet et.
In 2006, th he
ere were ove e
r r
30 million
I I
I nt
n erne
ne ne
t t
t us
us us
er s wh
wh who
ha ha
ha d an
I I
I nt
nt nt
er e
e net sh
sh sh
opping experie ien
nce. De
De De
spite e
e th
th e
e fact that Intern
rnet et shopp
pin ng mall
l s
s a are now winnin
n g
g m m
more a
and nd
nd m
m m
ore e
cu cu
st om
om omer
er ers by
y y p
provi idi
di ng
ng these custo ome
mers w i
ith h a dis
sco ounted price f
f or
or produ
u uct
c c
s, f
f fav
av avor
or orable
le pr
pr r
ic i
i e al
l l
one ma
m y not be
be s
s uf
uf ficient.
T Tru
r st
t is s st
t i
ill regarded
ed a a
s s an order
q q
q uali
li ifi
fi fier f
f f
or o
o c
co co
n ns
nsumers’ p
purchase decisi i
on ons
D D
oney ey
Ca Can
nno on, 19
19 97
97. .
C onsumers are
e e
unlikely y
y to
o o
p pa
atron on
onize In n
nt ternet stores that fai
ail l
to c
c re
reat t
e a se sens
nse of of
t rust Jarvenpaa
Tracti i
n n
nsky y
y ,
19 9
999 9
. T
T T
rust t
t can only
y ex
ist t
if if
t t
he he
c c
o onsumer believ
eves es
t t
ha ha
t t
th t
e seller has t h
h he abi
bi bi
l lity t
t t
o o
r pr
pr pr
ov ov
o ide an
n nd
d d
de li
liver go ood
od s
s of
of of
t t
t he
he he
q q
q ua
u lity expected
d d
b b
b y
y y
th th
th e
e e
co co
ns ns
u umer.
A At
t t
t hi
hi hi
s s
s point t
t in
in in
ti ti
time me
me, ,
there is ano noth
th er
er er
i i
imp mp
mp or
or or
ta t
ta nt
nt q
q q
ue ue
ue st
st s
io io
ion: n
n How
w w
c can
n c
c c
on on
on su
su me
me me
rs rs
rs g
g g
ai ai
ai n
n n
tr tr
us us
t t in an Inte
e e
rn rn
rn e
et et
sh h
hop op
op p
p ping mall? In traditional contexts, a
co co
cons s
s um
um um
er’s trust has been found to be affe fe
fe ct
ct ct
ed ed
ed by
y y
t t
he he
he s
s eller’s investment in physical bui
ui i
ld ld
d ings, facilities, and personnel Do
on oney
ey ey
Ca a
a nn
nn nn
on on
n, ,
, 19
19 19
97. We note, however, that since there is no physical conta a
a ct
ct ct b
b b
e et
etwe we
we en
cons s
sum um
umer er
er s
s s
an an
an d
d se
ll ll
ll er
er er
s s
s in
in in
a a
n n
I In
t te
e rn
rn rn
et et
et s
s s
ho h
pping m m
m al
al al
l, l,
l, i
i i
t t
t i
is r r
ea ea
so so
na na
na bl
bl bl
e e
t t
to sug ug
ug ge
ge gest
st st
t t
t ha
ha ha
t a consum
um um
er er
er ’s tru
st st
st i
i i
s s
s af
af af
fe f
fe ct
ct ct
ed ed
ed b
b b
y y
y th
th the co
co ons
ns ns
um um
umer er
er ’s
’s ’s
c c
c ha
ha haract
t t
er er
er is
is is
ti ti
ti cs
cs cs
, ,
in in
n st
st st
ea ea
ea d
d d
f of
of som m
m e
e e ac
ac ac
tions of the s
s el
e e
le le
le r’
r’ r’
s s
s .
. .
The pu pu
purp rp
rp os
os os
e e
e of
of of this study has
be b
b en to
o o identify factors w
w whi
hi hi
ch ch
ch m
m m
a a
ay affect the purchasing intention in B2C market and
nd nd examine
e e
the relationships among the identified factors. For this purpose, we conduc
cted an emp p
pirical study on Chinese users using Internet shopping malls.
2. THEORETICAL BACKGROUND 2 1 Tr st
The effects of internet shoppers’ trust on their purchasing intention in china 271
research studies dealing with the conceptualization of trust in an e-commerce context. Jarvenpaa Tractinsky 1999 define trust in the Internet shopping mall context
as a consumer’s willingness to rely on the seller and take action in circumstances where such action makes the consumer vulnerable to the seller. According to Mayer et al.
1995 trust is a willingness of a party to be vulnerable to the actions of another party based on the expectation that the other party will perform a particular action important
to the vulnerable party, irrespective of the vulnerable party’s agility to monitor or control that other party. Kim et al. 2004 define trust as the belief that the other party
will behave in a dependable manner in an exchange relationship. Trust, in this study, is broken down into two constructs according to different trust subjects: 1 potential
consumer trust is referred to as the initial trust that a potential customer has in an unfamiliar trustee, and 2 repeat consumer trust is referred to as the trust that a repeat
customer has in a familiar trustee after having some transaction experience with the trustee. McKnight et al. 1998 also divide trust into two constructs: 1 trusting
intention, meaning that one person is willing to depend on the other person in a given situation, and 2 trusting beliefs, meaning that one person believes the other person is
benevolent, competent, honest, or predictable in a situation.
David Gefen and his colleagues’ 2003 construct a table which provides a summary of the prior conceptualizations of trust along with the trust object and
measures used to operationalize the construct. As a result, the table shows that researchers’ view of trust can be separated into 4 divisions:
1 A set of specific beliefs dealing primarily with the integrity, benevolence, and ability of another party.
2 A general belief that another party can be trusted. 3 Affect reflected in “feelings” of confidence and security in the caring response of the
other party 4 A combination of these elements.
In e-commerce contexts, when neither the buyer nor seller can be face-to-face with the other party directly, uncertainty exists all the time because of both parties’
unpredictable action and opportunistic behavior Jang et al., 2005. Hence, the key to removing this kind of uncertainty and making successful economic transactions is
avoiding opportunistic behavior Hosmer, 1995. In this case, any general belief or feeling without evidence cannot be regarded as equivalent to “trust”. Real trust,
therefore, can only exist if the consumer believes that the seller has the ability to provide and deliver goods of expected or better quality as a consequence of the
consumer’s Internet shopping behavior. With such definitions and distinctions in mind, trust or consumer trust is operationally defined for our study as “a set of specific beliefs
dealing primarily with the integrity, benevolence, and ability of another party.”
The trust object in Internet shopping malls is totally different from that in an offline store. That is to say, due to no seller-related management apparent during buying
or selling in the Internet shopping mall, the subject of consumer trust becomes the Internet shopping mall itself Jong Lee, 2000. Thus trust plays an important role
during the transaction in this uncertain and risky circumstance.
Vol.4, No. 3, 2007, p. 269-286
1995 trust is a willingness of a party to b be
e vulnerable to the actions of another party based on the expectation that the ot
ot ot
he he
her party will l
p p
per er
er fo
f rm a particular action important
to the vulnerable party, irres es
es p
p pe
ct ive of the vulnerable
e p
p p
arty’s agility to monitor or control that other party. Ki
Ki Kim et al. 2004 define trust as th
t e
be be
be lief that the other party
will behave in a dep p
en en
en d
d dable manner i
i i
n an exchange relationship. T
T T
rust, in this study, is broken down into
to o two constructs a
a cc
c c
or or
or di
di di
ng g
g t
t t
o o
o di
di d
ff ff
ff er
ent trust subj bj
bjec ec
e ts: 1 potential
rr consumer trust
st t
i is referred
d d
t t
t o
o o a
a as the i
i ni
ni ni
ti ti
ti a
al a
tru ru
ru st
st st
t t
t ha
ha ha
t t
t a
a a
po po
po te
te te
ntial cust t
om om
omer has in an unfamiliar t
t ru
ru rustee, and 2
r re
r pe
p p
at a
a consumer trust is ref
f f
er er
er re
e e
d d
d t t
to as the trust t
th th
t at a repeat
customer h h
h as
in a fa fa
fa mi
m m
liar tru st
ee e
e a
a a
ft ft
ft e
er er
h h
hav av
i in
ing g
g so
so so
me m
m transaction
n n
e e
e xp
x x
erience e
e with the trustee.
M McKnigh
gh gh
t t
t et
et et
al. 19
19 19
9 98
98 also divid
i e trust int
t o
o tw
tw tw
o co o
o ns
ns s
tr tr
tr uc
uc uc
ts: 1 tr
t t
usting intent
t t
i io
ion, mea a
a ni
ni ning
ng ng
t h
hat on on
on e
e person is willing
ng to depend on th
th h
e e
e othe
r r
r pe pe
pers rs
rs on
n n
in a gi
g g
ven situa
a at
io n, a
a nd
nd nd
2 2
2 tru
u st
st st
in in
g be e
li l
efs, meaning t
that one person n
believ v
v es
e e
the o
o o
th th
th er
er er
perso o
on n
is be
e n
n nevole
e nt
nt n
, ,
co co
co m
mpet et
et en
e t, honest,
t, or predictab
le e in a situatio
o n.
n Da
Da Da
vi v
v d Ge
Ge Ge
fe n and his co
co ll
l eagues’
2 2003 con
n st
st ru
ct a table w w
w hi
h h
ch h
h p p
pro o
o vi
vi vi
de d
d s
a a
a s
s summ
ar ar
ary y
y of t
t t
h he
he prior conceptu
ua li
li zations
s o of trust
t a along with the tr
tru u
ust ob ob
obje je
je ct
ct ct
and d
d meas
s ur
ur ur
es es
es use
e e
d d
to o
o o
pe p
rationalize th
he con nst
truct. As As
a result, t t
he he
t ab
le le
e sho ho
ho ws
ws ws
that re
e e
se s
ar ch
ch ch
e e
ers’ v
v v
ie w of tru
ust st c
c an
a be sep
ar a
at ated
int to 4 d
div visions:
1 1
A A
A set of
s s
s pecific beliefs de
deal alin
in g
g pr
p im
imar ari
ily w w
ith h the
e in
in te
tegr grity, benevolence
e e,
and abil il
ility y
y y
o f
f ano no
other p ar
a ty.
2 2
2 A ge
ne ne
ne ra
a a
l l
be be
li li
ef ef
t t
ha ha
t t anot
h her party can be trusted.
3 3
3 A
A Affect reflect
ted ed
i i
i n
n n
“f “f
“fee ee
ee li
li li
ng n
ng s”
s o
o o
f f
f co
co c
nf nf
nfid i
i ence a
a a
n nd
nd s s
s ec
ec ec
ur u
ur it
it y
y in
in in
t t
t he
he he c
c c
ar ar
a in
in g
g response of f
f th
th he
e e
ot t
the he
he r
r r pa
p p
rty 4
A A
A co
co comb
m m
ination of these elements. In
In In e
e e
-com m
mme me
me rc
rc rc
e e
e co
co co
nt nt
nt ex
e ex
ts ts,
wh wh
wh en
en en
neither the e
e b
b b
uy uy
uy er
e er
n n
or or
or s
s s
el el
el le
le le
r r
r ca
ca ca
n n
n b
b be f
f f
ac ac
ace- e-
e- to
to to
-f -f
-f ace
with t
t t
he he
he oth
th th
er er
er p p
p ar
ar ar
ty ty
ty d
d d
ir r
ir ec
ec ec
tl tl
tl y,
y, y,
u u
u n
nc ncer
er rta
ta ta
in in
in ty
ty ty ex
x x
is is
is ts
ts ts a
a a
ll ll
ll t
t t
he he
he t
t t
im im
m e
e e
be be
be ca
ca ca
us us
us e
e e
of of
of b
b both
h h pa
pa par
r rties’
unpred d
dic ic
ic ta
ta tabl
bl ble
e e
action n
a a
a nd
nd nd o
o opp
pp pp
or or
or tu
tu tu
ni ni
ni st
st st
ic b eh
eh eh
av av
avio io
ior Ja Ja
a ng
ng ng
e e
e t
t t
al a
., 2
2 200
00 00
5 5
5 . Henc
c c
e, e,
e, t t
t he
he he
k key to
removing t
t t
hi hi
h s
ki ki
ki nd
nd nd of
f f
un un
uncertainty an n
nd d
making ng
g successful ec
ec ec
on o
o om
m mic
ic ic
t t
t ra
rans ns
ns a
a actions is
avoiding opportu i
nistic behavior Hosm m
mer, 199 9
95 5
5 . In this case, any general belief or
feeling without evidence cannot be regarded
as a
equivalent to “trust”. Real trust, therefore, can only exist if the cons
u u
mer believ v
ves that the seller has the ability to provide and deliver goods of expect
te ted or bet
t tter quality as a consequence of the
consumer’s Internet shopping behavior. With su
u uch definitions and distinctions in mind,
trust or consumer trust is operationally de ef
efined d
d for our study as “a set of specific beliefs dealing primarily with the integrity, benevo
o olen
n nce, and ability of another party.”
The trust object in Internet shopping malls is totally di t
fferent from that in an
Li, Rong. Kim, JaeJon, Park, JaeSung 272
2.2 E-commerce Knowledge
