Institution-based Trust Research Articles

The Effect of Information Deception in Price Comparison Site on the Consumer Reactions: An Empirical Verification

Challenges in the ubiquitous networks deployment are to guarantee the information transparency in the distributed systems. In particular in online market, studies warned that information deception by online sellers and by price comparison site could be fatal in the success of e-marketplace. However, handful of studies had conducted this issue and the findings are still mixed and ambiguous. I challenged to empirically validate the impact of information deception by the price comparison site on the consumer behavioural intentions. I developed the research model based on the literature of information transparency, information deception, institution-based trust, psychological contract violation, and consumer reactions. I conducted the quasi-experiment in two types of price comparison sites. The results of this study had successfully captured the existence and impact of information deception, could contribute to providing more rigorous evidence for the theory, expand the consumer protection research area in IS filed, and suggest the need for the neutral price comparison site for the success of e-marketplace to the regulatory party.

Multiple Paths to Institutional-Based Trust Production and Repair: Lessons from the Russian Bank Deposit Market

We propose and test the proposition that state ownership represents an important mechanism of institutional-based trust production in market development that requires analysis in its own right, particularly following periods of financial crisis when the state’s role as a regulator is often viewed as ineffective or corrupt. To test the proposition that state ownership and state regulation act as distinct sources of institutional-based trust production, we examine individual choices of market participation and avoidance in Russia’s market for bank deposits. To analyze the consequences of institutional-based trust, we look at individual preferences to keep savings in a private bank, in a state bank, or in cash outside of the banking system. To analyze antecedent conditions, we measure an individual’s trust in political actors and government agencies. Our results support the proposition that the state produces institutional-based trust in the Russian banking system through its roles as both an owner and a regulator.

The Moderating Effect of Trust on the Relationship between Autonomy and Knowledge Sharing: A National Multi-industry Survey of Knowledge Workers

Purpose This research explores the impact of motivation type, relative autonomy, and trust on knowledge sharing behavior among American research and development professionals sampled from a variety of industries. Design/Methodology/Approach Knowledge sharing (KS) was measured using a scale comprised of tacit and explicit KS subscales. Motivation type was measured with a self-determination theory-based scale comprised of three extrinsic motivation subscales (external, introjected, and identified) and an intrinsic motivation subscale. A relative autonomy index was calculated using motivation subscale scores. Three scales were employed to measure institution-based, benevolence-based, and competence-based trust. Correlation and hierarchical multiple regression were used to asses the relationship between predictor variables (trust, motivation type, and relative autonomy) and KS, as well as the moderating role of trust. Findings Institution-based trust, benevolence-based trust, and competence-based trust positively affect knowledge sharing, so do relative autonomy, introjected, identified, and intrinsic motivation. External extrinsic motivation has no effect. Benevolence-based and institution-based trust moderate the relationship between relative autonomy and KS. Practical implications The findings suggest that organizations can increase KS by encouraging worker autonomy. Where this is impractical, organizations can minimize the effects of low autonomy by fostering institutional and interpersonal (benevolence-based) trust. Originality/value This paper provides a novel, empirically grounded model of knowledge sharing behavior that allows researchers and practitioners to reinterpret the existing literature in a way that integrates seemingly contradictory findings on the roles of trust and intrinsic/extrinsic motivation. Limitations Because the study did not employ an intervention, further experimental research is needed to establish the causal relationships suggested in the findings. Copyright © 2015 John Wiley & Sons, Ltd.

Trust in government’s social media service and citizen’s patronage behavior

As governments across the world have decreased in perceived reliability and trust, they now need more stable and continuous tools to communicate with their citizens. In this context, many government agencies are attempting to use social media tools to communicate with the public and promote citizen’s trust. But, few studies have investigated the critical factors and antecedents of trust in government under social media context. Thus, this study empirically analyzes the antecedents and formation of citizen trust and expansion in actual citizen patronage behavior deploying structural equation model. The survey data was obtained from Korean population who used government’s social media service. The results indicate that the formation of citizen trust in the government can be expanded into patronage intention toward social media and actual behavior. This study also demonstrates that factors related institutional-based trust, characteristic-based trust, and process based trust contribute to improving trust through government social media services. This study provides contribution as research that discovers the antecedents of trust in government social media use and it employs integrated perspective for the structural components of trust simultaneously.

A Review of Literature of Initial Trust in E-Services: The Case of Internet Banking Services in Jordanian Context

Trust in prior marketing research is considered to be the milestone in the dealing between two entities. Likewise, information systems’ researchers considered customer’s trust in e-Services to be an essential element in accepting such services. In the case of internet banking services (IBS) in the Jordanian context, the early stage of trust will be under investigation since the majority of people are not adopters for IBS. The main aim of this paper is to identify, define, and categorise the factors that influence Jordanian’s initial trust in IBS. A systematic qualitative literature survey approach has been adopted and reports the following categories: firstly, trust bases category includes: personality-based trust, cognition-based trust (Reputation), institutional-based trust (structural assurance); secondly, Information Technology category includes website factors (security, privacy, and general online experiences); thirdly, social factors (national culture); finally, diffusion of innovation factors: Relative advantages and compatibility. The selection of the previous factors depends on the user characteristics (no prior experience in IBS), and context characteristics (national culture of the Jordanian context). These factors can be useful for increasing organisations’ (i.e. banks) understanding and addressing customer’s initial trust in IBS in the Jordanian context.

A pragmatic contribution for a more reflexive institution-based trust

This paper presents a philosophical reflection on the concept of trust in order to promote a pragmatic reflexivity in institutionalist theory. The objective of this article is to indicate why the best way to deal with trust issues is to reflexively balance their rational and routine origins. Understood as an individualist effort for the rational action theory, such reflexive requirement nevertheless asks for a complex interrogation of the nature of the intersubjectivity at stake. To fully understand the sources and the mechanisms of institution-based trust requires taking into account the peculiar bond that actors have with their own institutional framing as a condition of stability of their common-sense world. People rely on institutions to interact on daily basis and reflexivity is the mechanism that operates the equilibrium between individual reason and institutional routine. Neoinstitutionalist approaches in organisational theory are often understood as having integrated such modality. We believe on the contrary that they have not sufficiently taken into account the reflexive requirement where a pragmatic understanding of institutional trust does. Our contribution calls then for a research methodology based on scientific humility and for the definition of pluralist and experimental collective action principles.

The mediating effect of knowledge sharing on the relationship between trust and virtual team effectiveness

Purpose – The limited proximal communication between virtual team members can create a lack of trust among members which can significantly reduce the effectiveness of these teams. Hence, this study was conducted to examine the relationship between trust and virtual team effectiveness by looking into the mediating effect of knowledge sharing. Design/methodology/approach – This is a cross-sectional study conducted in a multinational company in Malaysia. Questionnaires were distributed to individuals working in a virtual environment. The questionnaire required the respondents to answer questions regarding three different types of trust (i.e. personality-based trust, institutional-based trust and cognitive-based trust), their knowledge sharing behavior, and their evaluation of the effectiveness of the virtual teams that they are involved with. Findings – Results of hierarchical regression analysis indicated that knowledge sharing and all the three types of trust are significantly related to virtual team effectiveness. However, only personality-based trust and institutional-based trust are significantly related to knowledge sharing, but knowledge sharing only partially mediates the relationship between these two types of trust and team effectiveness. Research limitations/implications – The population of this study are virtual teams working for an organization, hence the generalizability of the findings to other settings is unknown. Originality/value – Trust has been founded to be a significant predictor of virtual team effectiveness. However, this paper shows the effect of different types of trust and the role of knowledge sharing in mediating the relationship between trust and virtual team effectiveness.

The Influence of Social Aversion and Institution-Based Trust on Computer Self-Efficacy, Computer Anxiety and Antecedents to IT Use

Prior research has shown that proximal states are important mechanisms through which distal states relate to IT usage. In particular, the influence of distal traits tied to social activity has not been incorporated into the nomological network surrounding information technology (IT) use. Addressing this literature gap, the authors develop their research model using Social Cognitive Theory and examine how two distal traits, social aversion (SA) and institution-based trust (TRIT), influence computer self-efficacy (CSE) and other proximal state-like differences related to IT use. The authors' results show that SA and TRIT demonstrated influence on CSE and CA at the general and specific levels of analysis, and that CSE mediates the influence of SA and TRIT on PU and PEOU, yet does not fully mediate the influence of CA on PU and PEOU. The implications of their findings for research and practice are discussed, as well as avenues for future research.

The Impact of Trust on Virtual Team Effectiveness

Given the important role of information technology, virtuality has become crucial issue in contemporary organizations. Virtual teams are comprised of members who are located in more than one physical location. They need to be effectively collaborating to harness their full performance capabilities in order to compete in the highly competitive environments. However, virtual team effectiveness is affected by determinants of trust which include three types; personality, cognitive and institutional-based trust. Therefore, this paper examines the impact of trust determinants on virtual team effectiveness represented in virtual team satisfaction and performance. Through a survey of 125 virtual team members who had experienced at least two years in this field, the results indicated that determinants of trust positively influence virtual team satisfaction and virtual team performance. The authors' structural equations modeling findings also support our hypothetical predictions that personality- based trust, cognitive- based trust and institutional- based trust have a dramatic impact on both of virtual team satisfaction and virtual team performance. Moreover, institutional- based trust is the uppermost driver of virtual team effectiveness. This study provides novel insights into virtual team behaviours, managerial and research implications for effective virtual team.

Determinants of online trust and their impact on online purchase intention

Abundant literature has examined online trust. However the different approaches were scarcely integrated to address the determinants of online trust and their impacts on online purchase intention. An integrative approach to online trust is adopted in this paper. A survey is carried out on a sample of 401 online consumers in Indonesia. The findings show that purchase intention is significantly influenced by online trust. Besides, there is significant impact of personality-based trust (benevolence, integrity and credibility), cognitive-based trust (reputation and cost benefit calculation) and institutional-based trust (situation normality) on online trust.

The Importance of Institution-Based Trust in Mobile Adoption with Online Shopping Applications

This paper develops a research model that examines online purchasing by consumers. A research model was built to focus on the role of trust and its impact on inertia, loyalty, satisfaction of online consumers. 1,896 consumers in the United States were surveyed using an instrument and structural equation model that yielded respectable reliability and validity. It was discovered that certain sub-constructs of trust play an important role in influencing consumers' behavioral intention toward online shopping. Both institution-based trust and structural assurances-based trust positively influence inertia and satisfaction. The data showed that greater levels of institution-based trust leads to greater levels of online shopping satisfaction using mobile devices. However, a person's perception of structural assurances-based trust does not significantly influence his/her loyalty toward shopping with an online vendor. This paper adds to the understanding of online purchasing. Future researchers can refine the model and instrument to further explain consumers' acceptance of mobile online shopping applications.

Making sense of institutional trust in organizations: Bridging institutional context and trust

Institutional-based approaches to trust can explain how trust logics can exist in a societal context as compared to logics of distrust. Strong institutions in the form of regulative, normative and cognitive structures can enable and inspire trust-relations among people at the interpersonal and inter-organizational level. We suggest, however, that the actor-dimension of institutional-based trust is an underexplored issue in the literature. Quoting Fligstein, institutional theory needs to explain how ‘some social actors are better at producing desired social outcomes than are others’ (Fligstein, 1997: 398). While Fligstein refers to actors who engage in ‘robust or local action’ we argue that actors who engage in (robust, local) sensemaking activities are better at (re)producing institutional-based trust. Particularly in situations when institutions are relatively unstable, unfamiliar to the actors and ambiguous, sensemaking strategies directed towards exploring the institutional foundations of trust at a local level can be an important basis of interpersonal trust-relations. First, based on a summary of studies of institutional-based trust we argue that an unresolved issue is how institutions more precisely form the basis for trust-relations. Second, we explore how sensemaking may serve as a bridge between institutional contexts and interpersonal trust processes. Based on Weber and Glynn’s (2006) model of relations between institutions and sensemaking, we argue that institutions are ‘emerging’ rather than ‘impacting’. The relevance of this view of sensemaking for bridging institutional-based and interpersonal trust processes is illustrated by reviewing a case study on how trust is created in a politically turbulent and foreign environment.

The Role of Trust and Technology Acceptance Model(TAM) on Customer Acceptance of Mobile Banking

This paper studies the need to integrate trust and Technology acceptance model (TAM) to understand the behaviour intention of the customer to use mobile banking. The present study focuses through literature review on trust related antecedents and technology related constructs and its influence on customer decision. It covers disposition to trust, institution-based trust, cognitive-base trust, security and privacy as five potential antecedents of trust. The study concludes that two technology attributes which are perceived ease of use and perceived usefulness to be beneficial for the usage of mobile banking. It suggests an integrated model that incorporates the five trust antecedents and two technology-related antecedents on its influence on customers’ decision to use mobile banking.

Exploring the Resource Nature of Online Sourcing Marketplace

Online sourcing marketplace is a new business model that provides business services to firms. Considering the resource nature of online sourcing marketplaces, we focus on and explore impacts of the resource-based attributes on trust. Thus, we look into a new kind of online marketplaces devoted to services. The research model is examined with the data collected from an online micro-sourcing marketplace. Our findings indicate the importance of institution-based trust in building effective online outsourcing marketplace. Moreover, trust in marketplace builds on its ability to supply resources and to facilitate the resource utilization process. Finally, implications for theory and practice are presented.

The Influence Factors of Consumers’ Subjective Effect toward Brand Extension

This study investigates the cause and effect relationship among fit (product-country match, prototype fit and exemplar fit), brand trust (process-based trust, characteristic-based trust, and institutional-based trust) and perceived value and uses the multiple regression analysis to test the cause and effect relationship among every variable. This study focuses on those consumers who shopping at department stores in four areas in Taipei city in Taiwan using the quota sampling method. Empirical results indicate positive relationships to the targeted hypothesis: the three variables of product-country match, prototype fit, and exemplar fit will enhance perceived value through brand trust while a business launch a new product and the most important variable to affect perceived value is product-country match. Consequently, the managerial implications of this study can provide appropriate suggestions for global enterprises to develop their brand extension strategy to build positive and strong value for consumers.

Trust in the State and Participation in the Russian Bank Deposit Market

We extend research into the antecedents and consequences of institutional-based trust to the study of state-owned enterprises. We propose that if market participants trust the top political leaders...

Research on the Trust in Supply Chain Dynamic Collaboration Based on MAS

On the basis of dynamic trust theory, the paper proposes a staggered theoretic model which describes dynamic collaboration trust in supply chain from the view of collaboration relationship, which studies the dynamic dissimilar effect of institution-based trust on collaboration trust and cooperation intention in differential stage. More than forty supply chain companies in different fields are chosen to be the objects of experimental research and a sample data of more than three hundred actual members is finally collected. Fact or analysis and structural equation modeling are implemented to validate the hypothesized relationship between institution-based trust, collaboration trust in supply chain trust, and cooperation intention in theoretic model.

Understanding Institutional-based Trust Building Processes in Inter-organizational Relationships

This paper deals with the role of institutions in the development of trust in relationships between organizations. We review various strands of literature on organizational trust and examine the assumptions made about how trust building processes are influenced by institutional arrangements. Following this conceptual analysis, we discuss four mechanisms that are pivotal in the development of institutional-based trust. We also examine four situations where the influence of institutions can be particularly conducive to building trust. Finally, we argue that each of the situations calls for specific mechanisms to be predominantly employed in order to effectively create trust in inter-organizational relationships.

The Impact of Trust and Relative Advantage on Internet Voting Diffusion

Internet voting is an emerging e-government phenomenon. In the United States, several state and local governments have experimented with Internet voting. This study presents a model of Internet voting adoption that integrates diffusion of innovation theory, institution-based trust and e-government utilization. To test the model a survey is administered to 372 citizens. The results of structural equation modeling indicate that relative advantage, Internet trust, and e-government information utilization have a significant impact on intention to use Internet voting. In addition to these direct effects, disposition to trust has a significant impact on Internet trust and accessibility has a significant impact on relative advantage. Not only are citizens interested in using the Internet to obtain government information, but also to cast their ballot. As a result, opportunities for Internet use in the political process are constantly emerging. Government agencies should take advantage of technological innovations to improve the accessibility of the electronic ballot, to communicate the advantages of this phenomenon and to engender trust among the citizenry.

Between Resistance and Commitment: The Social Dynamics of Change on the Frontlines

A comparative case study approach is used to study change implementation in two factories of an organization. An initial model links organizational factors (content of change) with the process of change at an individual level. The study focuses upon change in work routines at the operating level as an indicator of change implementation. The study reveals the primacy of trust during change. Change implementation has two phases – goal acceptance and change implementation. Goal acceptance is influenced by institution-based trust, whereas implementation, characterized by improvisation in work routines, is influenced by trust in the immediate superior and subordinates. The individual initiative motors the change, reflected in the reconstruction of self-identity of the individual in the changed context. The exploratory study developed insights into potential causal relationships for future research