Determinants of escrow service adoption in consumer-to-consumer online auction market: An experimental study

Risk relief services (RRSs), as complementary to online trust promoting services, are becoming versatile options for risk reduction in online consumer-to-consumer auctions. In this paper, we identify factors that affect the behavior of buyers in an online auction market who had to either adopt or no...

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Veröffentlicht in:Decision Support Systems 2006-12, Vol.42 (3), p.1889-1900
Hauptverfasser: Antony, Solomon, Lin, Zhangxi, Xu, Bo
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container_title Decision Support Systems
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creator Antony, Solomon
Lin, Zhangxi
Xu, Bo
description Risk relief services (RRSs), as complementary to online trust promoting services, are becoming versatile options for risk reduction in online consumer-to-consumer auctions. In this paper, we identify factors that affect the behavior of buyers in an online auction market who had to either adopt or not adopt online escrow services (OES). An experimental C2C auction system with embedded decision support features was used to collect data. Results show that market factors, such as fraud rate, product price, and seller's reputation are important in determining buyers' OES adoption. This study also finds that sellers' reputation has a significant effect on buyer's risk perception, which influences his OES adoption decision. Furthermore, the buyers' OES adoption decisions were found to be congruent with the implied recommendations that were based on expected utility calculations.
doi_str_mv 10.1016/j.dss.2006.04.012
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1873-5797
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source Elsevier ScienceDirect Journals Complete
subjects Applied sciences
Auctions
Buyers
Computer science
control theory
systems
Computer systems and distributed systems. User interface
Consumer behavior
Decision theory. Utility theory
Electronic commerce
Escrow
Exact sciences and technology
Expected utility
Experiment
Online auction
Operational research and scientific management
Operational research. Management science
Perceived risk
Portfolio theory
Reputation
Risk theory. Actuarial science
Software
Studies
title Determinants of escrow service adoption in consumer-to-consumer online auction market: An experimental study
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