The Importance of Institution-Based Trust in Mobile Adoption with Online Shopping Applications

Abstract

This paper develops a research model that examines online purchasing by consumers. A research model was built to focus on the role of trust and its impact on inertia, loyalty, satisfaction of online consumers. 1,896 consumers in the United States were surveyed using an instrument and structural equation model that yielded respectable reliability and validity. It was discovered that certain sub-constructs of trust play an important role in influencing consumers' behavioral intention toward online shopping. Both institution-based trust and structural assurances-based trust positively influence inertia and satisfaction. The data showed that greater levels of institution-based trust leads to greater levels of online shopping satisfaction using mobile devices. However, a person's perception of structural assurances-based trust does not significantly influence his/her loyalty toward shopping with an online vendor. This paper adds to the understanding of online purchasing. Future researchers can refine the model and instrument to further explain consumers' acceptance of mobile online shopping applications.