Culture and Consumer Trust in Online Businesses

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Author(s): Robert Greenberg (Washington State University, USA), Bernard Wong-On-Wing (Southwestern University of Finance and Economics, China)and Gladie Lui (Lingnan University, Hong Kong)
Copyright: 2010
Pages: 20
Source title: Technological Advancement in Developed and Developing Countries: Discoveries in Global Information Management
Source Author(s)/Editor(s): M. Gordon Hunter (University of Lethbridge, Canada)and Felix B. Tan (Auckland University of Technology, New Zealand)
DOI: 10.4018/978-1-60566-920-5.ch008

Keywords: Digital Divide & Developing Countries / Global Information Technology / Government & Law / Information Science Reference

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Abstract

The importance of consumer trust to the success of online businesses is well documented in the literature. Given the global nature of online transactions, an important question is whether trust and trust formation differ across cultures. This study compared Hong Kong and U.S. consumer trust in online businesses. Specifically, the study examined security and privacy risks related to the purchase of products as well as services. The results show that significant differences exist between consumers from the two countries regarding the perceived level of online business risks and the formation of trust via the transference process. These findings reiterate and underscore the significance of including national culture in studies of trust in e-commerce. The results also have potential implications for online businesses as well as third party certification and assurance services.

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Culture and Consumer Trust in Online Businesses

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