Effects of Online Reputation Service in Electronic Markets: A Trust-Based Empirical Study

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Authors

Bo Xu and Surya B. Yadav, Texas Tech University

Abstract

Web-mediated consumer-to-consumer auctions are often regarded as risky due to the opportunistic behaviors in transaction. Online virtual community using feedback-based reputation service is an emerging trust building technology to reduce risk in online auction market. The purpose of this paper is to study the effect of feedback profiles on buyer’s purchase behavior. Based on previous researches, a trust-based model is developed to study the relationships among online reputation, trust, risk perception and intention. The model considers both similarities and differences between online and traditional market, it is expected to be a more effective basis for investigation of online consumer behavior.

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Effects of Online Reputation Service in Electronic Markets: A Trust-Based Empirical Study

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