Abstract
<p>Electronic commerce, an enormous revolution in today’s business world, has genuinely influenced the financial systems, marketplaces, product manufacturing, service and job industries, logistics and consumers’ mind-set. Consumers, posturing different individual characteristics, act differently in showing their trust in e-commerce business mainly due to the nature of the business. As an important predecessor of customers’ readiness to make use of e-commerce, it is essential to maintain consumers’ level of trust. Importantly, religiosity is one of the leading factors in building Muslim consumers’ opinion, both intra-personally and interpersonally, towards new ideas or latest technologies. This is a conceptual study to explore the moderating effect of religiosity on the relationship between trust and diffusion of e-commerce; in particular in Islamic perspective. Exploring the enlightened moderate version of Islamic teachings toward new ideas and innovations including e-commerce, the study aims to highlight applicability of Islamic traits.</p>
Highlights
Electronic commerce is an application of information technology that enables businesses to increase their profits and to improve market-shares, customer service, logistics, variety, quantity and quality by enhanced digital communications (Wen, Chen, & Hwang, 2001; Watson, Berthon, Pitt, & Zinkhan, 2008; Khurana, Goel, Singh, & Bhutani, 2011)
For example; in Middle East and North Africa (MENA) it is expected to increase merely from 1.6% to 3.5% by 2016, contributing one of the lowest in the world (Fredriksson, 2013; eMarketer, 2014) the GCC region is believed to be lagging behind the USA by five year in practicing e-commerce (Petermeijer, Verdonk, Balsfoort, & Zwart, 2015)
While hypothesizing a positive relationship between trust and diffusion of e-commerce, this study aims to investigate the moderating effect of religiosity on the relationship between trust and electronic commerce in the Muslim dominated marketplace
Summary
Electronic commerce is an application of information technology that enables businesses to increase their profits and to improve market-shares, customer service, logistics, variety, quantity and quality by enhanced digital communications (Wen, Chen, & Hwang, 2001; Watson, Berthon, Pitt, & Zinkhan, 2008; Khurana, Goel, Singh, & Bhutani, 2011). Development of electronic commerce has multi-dimensionally and multi-directionally influenced recent business trends. It has affected customers’ overall approach including; brands loyalty, and trust-level (Al-Taie & Kadhim, 2013). Practice of e-commerce seems lowest in the developing Muslim majority states. For example; in Middle East and North Africa (MENA) it is expected to increase merely from 1.6% to 3.5% by 2016, contributing one of the lowest in the world (Fredriksson, 2013; eMarketer, 2014) the GCC region is believed to be lagging behind the USA by five year in practicing e-commerce (Petermeijer, Verdonk, Balsfoort, & Zwart, 2015). There could be many factors behind the slow move of e-commerce in Muslim majority areas; lack of trust is said to be one of those
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