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Advancing the Concepts & Practices of Information Resources Management in Modern Organizations

Facilitating Conditions and Institutional Trust in Electronic Marketplaces

Facilitating Conditions and Institutional Trust in Electronic Marketplaces
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Author(s): Pauline Ratnasingam (University of Vermont, USA), Paul A. Pavlou (University of Southern California, USA), Yao-Hua Tan (Free University of Amsterdam, The Netherlands) and David Gefen (Drexel University, USA)
Copyright: 2003
Pages: 4
Source title: Information Technology & Organizations: Trends, Issues, Challenges & Solutions
Source Editor(s): Mehdi Khosrow-Pour, D.B.A. (Information Resources Management Association, USA)
DOI: 10.4018/978-1-59140-066-0.ch141
ISBN13: 9781616921248
EISBN13: 9781466665330

Abstract

Organizations are capitalizing on new Internet technologies to engage in e-business. Given the uncertainties of today’s e-business, we examine the role of institutional trust as an enabler of electronic marketplaces, drawing upon the lessons learned from traditional EDI via Value-Added-Networks. We apply these principles to develop a set of institutional trust-building facilitating conditions, such as (a) IT connectivity, (b) standards, and (c) uniform product descriptions. This research has implications for (1) the nature and role of institutional trust in e-marketplaces, (2) the strategic design of cost-effective trust-building mechanisms in e-marketplaces, and (3) an extension of the literature on institutional trust.

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