Abstract

In the last few years, the number of Internet users in Indonesia was growing rapidly as many people started to use e-commerce sites. Utilization of C2C e-commerce in particular has a risk that may reduce people interest in online shopping. Of the many factors that may influence online shopping intention, trust becomes the key. This study built a model to explain the purchase intention in the C2C e-commerce environment. In the model, buyer's trust to the seller is a major factor that influences the purchase intention. Cognitive trust and adoption of e-WOM information is used as a factor that explains how trust is formed. We tested the model by distributing online questionnaires in Kaskus forum, the largest online shopping community in Indonesia. Total 114 valid questionnaire responses were used for analysis. The analysis was conducted using PLS and Smart PLS 2.0 as the tools. Our results showed that trust have a positive and significant effect to the purchase intention. Later it was found that two cognitive trust variables, the perception of ability and integrity of the seller, along with the adoption of e-WOM information have a positive and significant impact on the trust to the seller.

Highlights

  • IntroductionE-commerce is a concept that describes the transaction between two parties, the exchange of goods, services, or

  • E-commerce is a concept that describes the transaction between two parties, the exchange of goods, services, orIn recent years, the growing number of Internet information, with the Internet as the main medium in the users in Indonesia is increasing

  • The Kaskus forum has a trading forum therein, which is one of the C2C marketplace most widely used in Indonesia

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Summary

Introduction

E-commerce is a concept that describes the transaction between two parties, the exchange of goods, services, or. The growing number of Internet information, with the Internet as the main medium in the users in Indonesia is increasing. The number of Internet users in it has advantages over traditional commerce, Indonesia in 2012 reached 61 million people. The there are some problems in e-commerce as its online amount is 10% greater than the number of users in the environment nature, such as the difficulty to recognize year 2011 and 48% greater than the number of users in the identity of the other party and to verify the suitability the year 2010. The Internet penetration has of the goods offered. Reached 23.5% of the total population in Indonesia. Rofiq (2007) in his study stated that from research

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