An Empirical Study on Factors Influencing Consumers’ Trust in E-Commerce

Abstract

In today's business scenario Internet is one of the key contributors in the globalization of markets which have become one of the main sources of capital flows to emerging economies. Internet technology has adopted for various application like E-governance, E-Procurement and E-commerce. E-Commerce has many advantages such as efficiency and flexibility but also disadvantages such as threat, security and fraud. In General Context, the consumer prefers to purchase the product through physical location rather than through E-Commerce. As the approach is based on the trust, there is a need to identify and analyze the factors such as security, privacy and familiarities that are affecting the trust in electronic transactions. Further, this paper provides an overview of role of trust in e-commerce and attempts to answer the questions such as how the trust can be established between the consumer and online vendor so they can purchase the product through E-commerce. In addition, the finding suggests that perceived security of E- transaction on trust is intervened by perceived privacy and perceived familiarities, and consumer’s trust in E- transaction is considerably related with the reliability of E- vendors. Also consumer’s trust is negatively related with perceived risks in E- transactions. However, there is no important impact from perceived privacy, security and familiarities to the trust in E- transactions.

Keywords: WWW- World Wide Web,Trust, E-Commerce,