Research On Trust Mechanism In C2C Website Based On Institution And Justice

As Internet gains ground, online shopping has been more and more important in people's life. As the representative of e-business, C2C website has brought people into a new consumption era with its convenience, promptness and entertainment. In the internet era, the e-commerce websites are growing stronger and stronger, and doing business online has become a newly emerging career. Trust is the key factor for the success of online trade, which is an important research field now.Based on the reality of C2C website and literature, there are two types of trust in C2C market, one is focusing on the buyers' trust towards the auction website, and the other is focusing on the buyers' trust towards the sellers. In this paper, we investigated the role of customers' perceived institutional mechanism and perceived justice on trust.This research focuses on Taobao and sellers on it, and integrates the institution trust theory, justice theory, and trust and e-loyalty concept to construct a theoretical model. Four specific institution-based mechanisms are proposed---perceived evaluation institution, perceived the third-party payment platform, perceived customer security plan and perceived feedback. This paper also manipulated distributive, procedural and interactional justice perception in an effort to study their impact on the customers' trust towards the website and the sellers. Through empirical study analysis, the main conclusions are gained as follows:(1) The customers' perceived institutional mechanism and perceived justice towards the sellers have significant effects on the trust, but the factors influencing trust towards website and trust towards sellers have a little difference. Meanwhile, the third-party payment platform and procedural justice have no effect on the consumers' trust, which vary from the previous studies.(2) The customers' trust towards the website and customers' trust towards the sellers both impact their e-loyalty, but the customers' trust towards the website exerts greater influence on their e-loyalty.(3) The customers' perceived institutional mechanism and perceived justice towards the sellers have significant effects on the e-loyalty, and trust has mediated the effect between them.The research complements the application of institution-based trust and justice theory on C2C online auction. Based on the conclusions, we discussed the role of perceived mechanism and justice on trust, and gave useful suggestions for the development of website and sellers on C2C market.