The Role of Intermediation in the Global e-Trade Decision-Making System

Abstract

The objective of this paper is to empirically test the web-marketing version of the propositions for traditional export intermediary firms (EIFs). The systematic and professional paradigms of the globalized cyber market require the background and experience of electronic export intermediary firms (e-EIFs). Based on this reasoning, this paper proposes the well-known traditional propositions about the market and products, as well as the new, but mostly supporting, feature of cyber trust or credibility in terms of the brand proposition. The empirical tests conclude that the greater is an e-EIF’s knowledge of exporting markets and the credibility of its own title with brand, the more it increases purchase intention. However, the knowledge on the products is not accepted as a decision factor to choose the e-EIFs. Among the three factors of e-EIFs, brand power is the most effective in terms of its estimated coefficient and significance in terms of its odds ratio. This implies that the professional support provide d by e-EIFs could reduce psychological as well as practical barriers for most firms to enter the global market.