The Effect of Perceived Ethical Performance of Shopping Websites on Consumer Trust

Ming‐Hsien Yang, Binshan Lin, Natalyn Chandlrees, Hung-Yi Chao

Journal of Computer Information Systems · 2009 · 106 citations · 34 references

Concepts

TL;DR

Trust is essential for electronic commerce, yet ethical problems on shopping websites undermine consumer confidence. This study investigates how consumers’ perceived ethical performance of shopping websites affects their trust. The authors conducted an experiment with a simulated shopping website, showing that consumers trust sites that demonstrate strong ethical performance, including clear privacy policies and accurate product descriptions. The results indicate that demonstrating ethical performance builds consumer trust and motivates vendors to improve their sites.

Abstract

Trust is a key factor to the success of electronic commerce (EC). Websites facilitate enterprises selling online but also generate many problems, especially ethical issues that make customers hard to trust the sites. This study aims at investigating the effect of shopping websites' perceived ethical performance on consumer trust. Through an experimental study of the simulated shopping website, the result shows that consumers will trust the website if they feel the site keeps a good EC ethical performance such as practicing the privacy policies and stating it explicitly, describing products or services in an appropriate way. This finding suggests EC vendors have a better understanding of the relationship between website ethics and consumer trust. It may also encourage EC vendors to enhance their websites' ethical performance so they could gain trust from customers.

References

34