Trust Generation through Extralegal Mechanisms: Reputation as a Valued Asset in eMarkets

The scope of this paper lies in the study of the trust factor within electronic transactions. Considerable importance has recently been given to this factor since the Net limits direct interpersonal relations and often does not even allow recognition of the opposing party. The risks of electronic commerce are also often highlighted, demonstrating that the international legal mechanisms currently in place are inefficient. Using this assumption as a starting point, the main risks of electronic markets will be highlighted and the sources of trust proposed in the literature will be discussed. The main objective, however, will be to analyze the extralegal mechanisms- in particular the creation of reputation trust.

[1]  Yannis Bakos,et al.  An Exploratory Study of the Emerging Role of Electronic Intermediaries , 1997, Int. J. Electron. Commer..

[2]  Joseph P. Bailey,et al.  Intermediation and electronic markets: aggregation and pricing in Internet commerce , 1998 .

[3]  Mark S. Granovetter.  Economic Action and Social Structure: The Problem of Embeddedness , 1985, American Journal of Sociology.

[4]  Hal R. Varian,et al.  Information rules - a strategic guide to the network economy , 1999 .

[5]  Judy E. Scott.  Organizational knowledge and the Intranet , 1998, Decis. Support Syst..

[6]  Paul A. Pavlou,et al.  Evidence of the Effect of Trust Building Technology in Electronic Markets: Price Premiums and Buyer Behavior , 2002, MIS Q..

[7]  Andrew B. Whinston,et al.  Building Trust in Online Auction Markets Through an Economic Incentive Mechanism , 2003, Decis. Support Syst..

[8]  Sirkka L. Jarvenpaa,et al.  Consumer trust in an Internet store , 2000, Inf. Technol. Manag..

[9]  Diego Gambetta.  Trust : making and breaking cooperative relations , 1992 .

[10]  Donna L. Hoffman,et al.  Building consumer trust online , 1999, CACM.

[11]  Don Tapscott,et al.  Digital capital: harnessing the power of business Webs , 2000, UBIQ.

[12]  F. Sultan,et al.  Placing Trust at the Center of Your Internet Strategy , 2000 .

[13]  W. Edwards Deming,et al.  Out of the Crisis , 1982 .

[14]  O. Williamson,et al.  The Economic Institutions of Capitalism: Firms, Markets, Relational Contracting. , 1986, American Political Science Review.

[15]  Matthew K. O. Lee,et al.  EC-Trust (Trust in Electronic Commerce): Exploring the Antecedent Factors , 1999 .

[16]  Todd H. Chiles,et al.  Integrating variable risk preferences, trust, and transaction cost economics – 25 years on: reflections in memory of Oliver Williamson , 2021, Journal of Institutional Economics.

[17]  John Hagel,et al.  The real value of on-line communities , 1999 .

[18]  Ben Shneiderman,et al.  Designing trust into online experiences , 2000, CACM.

[19]  A. Froomkin.  The Essential Role of Trusted Third Parties in Electronic Commerce , 1996 .

[20]  P. Adler.  Market, Hierarchy, and Trust: The Knowledge Economy and the Future of Capitalism , 2001 .

[21]  Yao-Hua Tan,et al.  Formal aspects of a generic model of trust for electronic commerce , 2002, Decis. Support Syst..

[22]  O. Williamson.  Calculativeness, Trust, and Economic Organization , 1993, The Journal of Law and Economics.

[23]  J. Dunn.  Trust and Political Agency , 1990 .

[24]  O. Williamson,et al.  Markets and Hierarchies: Analysis and Antitrust Implications. , 1977 .

[25]  Virginia Held.  On the Meaning of Trust , 1968, Ethics.

[26]  Stanton G. Cort,et al.  Information Asymmetry and Levels of Agency Relationships , 1998 .

[27]  Yao-Hua Tan,et al.  Formal aspects of a generic model of trust for electronic commerce , 2000, Proceedings of the 33rd Annual Hawaii International Conference on System Sciences.

[28]  Andrew Whinston,et al.  Building Trust in Online Auction Markets Through an Economic Incentive Mechanism , 2003 .

[29]  S. Shapiro.  The Social Control of Impersonal Trust , 1987, American Journal of Sociology.

[30]  Josh Boyd,et al.  In Community We Trust: Online Security Communication at eBay , 2006, J. Comput. Mediat. Commun..

[31]  J. Stiglitz.  The market for 'lemons': quality uncertainty and the market mechanism , 2002 .

[32]  Mathias Klang,et al.  Who do you Trust ? Beyond Encryption , Secure ebusiness , 2000 .

[33]  E. Fram.  E-commerce survivors: Finding value amid broken dreams , 2002 .

[34]  W. Galston.  Trust: The Social Virtues and the Creation of Prosperity , 1996 .

[35]  O. Williamson.  The Economic Institutions of Capitalism: Firms, Markets, Relational Contracting , 1985 .

[36]  Frank Dignum,et al.  A formal specification of automated auditing of trustworthy trade procedures for open electronic commerce , 1999, Proceedings of the 32nd Annual Hawaii International Conference on Systems Sciences. 1999. HICSS-32. Abstracts and CD-ROM of Full Papers.

[37]  Gregory A. Bigley,et al.  Straining for Shared Meaning in Organization Science: Problems of Trust and Distrust , 1998 .

[38]  D. A. Houston,et al.  Trust in the networked economy: Doing business on web time , 2001 .

[39]  Sirkka L. Jarvenpaa,et al.  Consumer Trust in an Internet Store: A Cross-Cultural Validation , 2006, J. Comput. Mediat. Commun..

[40]  J. H. Davis,et al.  An Integrative Model Of Organizational Trust , 1995 .

[41]  L. Zucker.  Production of trust: Institutional sources of economic structure, 1840–1920. , 1986 .

[42]  Ronald M. Lee,et al.  Designing Trustworthy Interorganizational Trade Procedures for Open Electronic Commerce , 1998, Int. J. Electron. Commer..