Paper Info
Title
Value Congruence, Trust, and Their Effects on Purchase Intention and Reservation Price.
Abstract
We study the roles of value congruence and trust in increasing online shoppers’ intention to purchase goods and their reservation prices for these goods. Hypotheses are developed and a controlled experiment is conducted to measure subjects’ value congruence with and their trust in online sellers with disparate values, along with their purchase intention and willingness to pay price premiums. Using social exchange theory, we find that, for business-to-consumer (B2C) e-commerce, value congruence increases consumer online trust, and both value congruence and online trust have direct effects on purchase intention and reservation prices. In particular, in the positive value congruence vs. value neutral case, trust has a greater effect than value congruence on purchase intention, but value congruence has a greater effect than trust on reservation price. These findings suggest that trust is essential to a consumer's intention to purchase online but value congruence can induce price premiums from potential buyers for online sellers. This implies that trust is essential to B2C e-commerce, but value congruence can be a more effective instrument for online sellers to achieve competitive advantage through value-based differentiation in the virtual marketplace.
Year
DOI
Venue
2017
10.1145/3110939
ACM Trans. Management Inf. Syst.
Keywords
Field
DocType
E-commerce, online market, price premium, purchase intention, reservation price, trust, value congruence
Reservation,Reservation price,Willingness to pay,Competitive advantage,Microeconomics,Price premium,Congruence (geometry),E-commerce,Social exchange theory,Business
Journal
Volume
Issue
ISSN
8
4
2158-656X
Citations 
PageRank 
References 
0
0.34
19
Authors
3
Name
Order
Citations
PageRank
Joseph A. Cazier17913.93
Benjamin B. M. Shao232221.91
Robert D. St. Louis312014.88