research-article

Value Congruence, Trust, and Their Effects on Purchase Intention and Reservation Price

Authors:

Robert St. LouisAuthors Info & Claims

ACM Transactions on Management Information Systems (TMIS), Volume 8, Issue 4

Article No.: 13, Pages 1 - 28

https://doi.org/10.1145/3110939

Published: 30 August 2017 Publication History

Abstract

We study the roles of value congruence and trust in increasing online shoppers’ intention to purchase goods and their reservation prices for these goods. Hypotheses are developed and a controlled experiment is conducted to measure subjects’ value congruence with and their trust in online sellers with disparate values, along with their purchase intention and willingness to pay price premiums. Using social exchange theory, we find that, for business-to-consumer (B2C) e-commerce, value congruence increases consumer online trust, and both value congruence and online trust have direct effects on purchase intention and reservation prices. In particular, in the positive value congruence vs. value neutral case, trust has a greater effect than value congruence on purchase intention, but value congruence has a greater effect than trust on reservation price. These findings suggest that trust is essential to a consumer's intention to purchase online but value congruence can induce price premiums from potential buyers for online sellers. This implies that trust is essential to B2C e-commerce, but value congruence can be a more effective instrument for online sellers to achieve competitive advantage through value-based differentiation in the virtual marketplace.

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Index Terms

Value Congruence, Trust, and Their Effects on Purchase Intention and Reservation Price
1. Computer systems organization
  1. Architectures
    1. Other architectures
      1. Heterogeneous (hybrid) systems
2. Information systems
  1. Data management systems

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cover image ACM Transactions on Management Information Systems

ACM Transactions on Management Information Systems Volume 8, Issue 4

December 2017

83 pages

ISSN:2158-656X

EISSN:2158-6578

DOI:10.1145/3136608

Editor:
Daniel Zeng
University of Arizona, USA

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Publication History

Published: 30 August 2017

Accepted: 01 June 2017

Revised: 01 February 2017

Received: 01 November 2015

Published in TMIS Volume 8, Issue 4

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You LHon LLee Y(2023)How Value Congruence and Issue Relevance Affect Consumer Reactions to Corporate Political AdvocacyInternational Journal of Business Communication10.1177/23294884231200858Online publication date: 24-Sep-2023
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