• The Journal of Asian Finance, Economics and Business
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• v.7 no.12
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• pp.509-513
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• 2020

Network marketing in Indonesia, especially in a time of crisis, is massively rising and has become a popular opportunity among other industries. Network marketing organizations, consists of partnership and trust, a community of connections and contact between individuals. This article has tried to examine the potential strategy to mitigate low trust in network marketing organizations specifically in the Indonesia market, where no studies on the subject has been done before. In doing this research assignment employed a secondary research methodology by reviewing previous academic literatures, by exploration and evaluation. For the purpose, 6 main articles and 25 relevant supporting articles were selected, there is an interesting and prominent research in an effort to repair trust in the perspective of the organization's efforts to build trust and control trust framework in strategy trust repair. The result of this analysis showed that the application of trust-building activities studies reveals how trust-building behavior is related to controls and how the efforts towards fostering subordinate cooperation are motivated by different types of controls and display of trustworthiness. It can be concluded that by implementing this trust repair model consistently and with a full commitment, it can gradually restore people's trust in the network marketing industry, sustain industry existence and exalted purpose of this industry can be achieved.

• Journal of Distribution Science
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• v.14 no.7
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• pp.101-114
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• 2016

Purpose - The aim of this study is to investigate the benefit-sharing activities. They affect contract renewal intention between franchisers and franchisees that are linked through a contract with the intention of building their relationship from the level based on dynamic trust. This study will show a new approach on qualitative growth and consolidation of competitive power and may well be able to suggest practical ways to strengthen directions in the field of franchise industries. Research design, data, and methodology - In this study, based on literature review, we separated logistical-supporting activities and non-logistical-supporting activities from benefit-sharing activities. We modeled how benefit-sharing activities influence contract renewal intention of franchisees by dynamic trust. In particular, considering the possibility of trading concepts and characteristics of trust between providers opportunistic behaviors was defined as variables, depending on the situation and dynamic characters reveal their relationship trust concept. That is, dynamic trust having the possibility of changing depending on opportunistic risks and interdependencies by Lewis & Weigert(1985, 2012) was classified into transitional-based trust, calculated based trust, relational-based trust and balance-based on trust. The total of 104 samples from domestic franchisees being with franchisees were collected by using a structural composed questionnaire. Results - The results are as following. Benefit-sharing activities in logistical supporting activities appeared to affect the multidimensional concept of transitional trust, calculated based on trust, relationship-based trust and balance based on trust dynamic trust with all-defined impact. Non-logistical supporting activities appeared to affect significantly the positive (+) to the dynamic trust concept except transitional trust. Lewis & Weigert(1985; 2012) have proposed a dynamic confidence calculated from relations within-based trust relationship based on trust appears to affect the significant positive (+) to the balance-based confidence transactions confidence mechanism of the system side in the verified relationship. Finally, a relationship based on trust and confidence in the balance based on the Influence of dynamic renewed confidence showed significantly affect the positive(+). In particular, the balance based trust showed the acts as a mediating factors between relational trust and confidence and renew calculated. Conclusion - From the above these results, the significance from this study is as following. First, the proposed activity is to share and validate the approach by identifying the potential in the relationship from the contract with building dynamic trust, and one of the ways from the franchise headquarters and affiliated merchants mutual growth through win-win cooperation in sharing activities. Next, the dynamic segmentation confidence to suggest the possibility can be broken down over the validity and reliability test for each concept. In addition, by identifying the relationship between the dynamic level of confidence granular multi-dimensional concept, to determine the level of trust with a dynamic relationship between risk and interdependencies can be possible in franchise industries. In order to maintain and develop their mutual relationship, franchise industries should propose confidence-building steps to promote their quality improvement.

• Management Science and Financial Engineering
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• v.16 no.2
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• pp.81-97
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• 2010

Trust is one of the most important aspects of the relationship between retailers and consumers in e-commerce. Users may have concerns about transaction security or personal information leakage when they engage in transactions over the Internet. It can be difficult to attract customers if the retailers or service providers cannot establish trust with their customers. There have been many studies of trust-building mechanisms between customers and e-storefronts. However, little work has been done on identifying the relationships between customer satisfaction, purchase intention, and trust. In addition, trust building occurs in the pre- and post-purchase phases of an e-commerce transaction, as well as gradually over repeated transactions. Thus we distinguish between cue-based trust and experience-based trust. The objective of this study was to explain the impact of trust on customer satisfaction and purchase intention in relation to e-commerce sites from the perspective of a multi-dimensional concept of trust. We surveyed 350 undergraduate students and obtained 331 responses for analysis. The result of our analysis showed that cue-based trust has a positive relationship with trust based on experience. Although the two concepts of trust have positive relationships with satisfaction, the path coefficient of trust based on experience was higher than that of cue-based trust. In addition, the purchase intention mediates the relationship between cue-based trust and experience-based trust.

• The Journal of Society for e-Business Studies
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• v.14 no.2
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• pp.1-22
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• 2009

As Internet shopping is getting popular, "trust" has become an important factor for customers to select websites and have repurchase intention. "Trust" has been developed from uni-dimensional concept to multi-dimensional concept in e-Commerce area. From the multi-dimensional viewpoint, this study is to investigate the processes to build trust for online stores. For this purpose, this study classifies the concept of trust into cue-based trust and experience-based trust, and then investigates their relationship in online stores. This study also identifies factors that explain cue-based trust and experience-based trust. The result from questionnaire survey distinguished cue-based trust from experience-based trust and both trust concepts are correlated each other. Second, cue-based trust is explained by perceived size, perceived reputation, and return policy, while experience-based trust is done by navigation, information usefulness and interactivity.

• The Journal of the Korea Contents Association
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• v.7 no.10
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• pp.221-228
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• 2007

It is more important how to maintain and develop the company than starting any business. The matter of trust building in the early stage of start up company is a main cause to make or break business performance. This study analyzes the primary factor to the influence of matter of trust formation in the early stage of starting business at internet shopping mall. Also, We are here concerned with the strategies on the building brand to shopping mall of e-company and the increasing sales. To accomplish the aim of this paper is examined a concept of trust, consumer's purchase behavior and the factor of trust formation from the basis of preceding research, It was found from the result of an hypothesis testing for positive analyze that information quality, web design and shopping convenience influence factors to the initial trust.

• Asia pacific journal of information systems
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• v.17 no.4
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• pp.133-163
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• 2007

Growth in the outsourcing market signals that firms of all sizes believe outsourcing will ultimately deliver many benefits and conveniences. But there are not many firms satisfied with the results of outsourcing. What is more, previous researches were fragmentary analyses focused on specific variables of outsourcing such as sourcing decisions, partnership rather than comprehensive analysis. Thus, they could not propose general systematic methodologies applicable to the real situation. To solve these problems, we developed an integrated theoretical framework that considered both contract with the hard side and trust with the soft side from a contingency viewpoint and tested this model using 143 data of Korean companies executing outsourcing. In addition, we examined how situational factors(outsourcing task complexity and outsourcing management competence) affects each path in the research model. The results of this study are as follows. First, it was proved the theory that trust is not a substitute for contract but its complement. Previous empirical studies on outsourcing success factors were focused on the establishment of successful partnership on the assumption that trust can replace contract in many situations. According to the results of our empirical analysis, however, contract and trust were in a mutually complementary relation with each other and their emphasis was different. Furthermore, different from previous researches, it was found effective to use trust as a supplementary tool and contract as a main means in outsourcing management strategy. Second, this study provided an integrated view that sees both contract and trust from a contingency viewpoint in theoretically reestablishing the relationship between contract and trust. Previous researches leaned to specific variables or theory-centered fragmentary analysis, but this study proposed a more practical and integrated research model and tested its effectiveness. Based on the results, with the model, decision makers are expected to scrutinize outsourcing situation more closely and to have a practical insight to the situation. Third, it was found that contract mechanism and trust building do not have a direct effect on outsourcing performance but relationship management intensity mediates the effect of contract mechanism and trust building. This is considered significantly meaningful to outsourcing partners who have believed that outsourcing would be successful if a contract is made properly or trust is built. Lastly, the path from trust building to relationship management intensity was moderated by informed buying, as the path coefficients from trust building to relationship management intensity varied by the degree of informed buying competence.

• Journal of Korean Society for Quality Management
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• v.41 no.2
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• pp.261-276
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• 2013

Purpose: This study intends to offer strategic implications that can be used in Korean medicine hospitals through analysis of causal relationship among factors focusing on image improvement and trust building. Methods: Differential model was introduced to test causal relationship. Questionnaire was developed, and data was collected and analyzed with Structural Equation Modeling. Results: Medical service has effects on image, trust, and CS. CS has an effect on trustworthiness, and trustworthiness has positive effect on loyalty intention and has negative effect on switching intention. Emotional attachment has moderating functions between trust and loyalty intention and between trust and switching intention. Conclusion: This study offers practical implications to relevant managers, at the same time it has limitations that omits relevant study of inducing factor for emotional attachment.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.3
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• pp.399-409
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• 2022

The purpose of this study is to examine the role of virtual community participation and engagement in the brand decision by building community and brand trust. In this study, two theories (Social Capital Theory and Theory of Collective Action) were tested. Both theories were linked based on existing literature, and empirical evidence was obtained through testing hypotheses. Students from five prestigious Pakistani business schools provided a total of 849 replies. The measurement model and structural model were both analyzed using the partial least square (PLS) method. The findings show that virtual community engagement and participation have a positive and significant impact on virtual community trust. Although virtual community engagement has a positive effect on brand trust, we found no evidence of a link between virtual community participation and brand trust. Later, these trusts positively influence brand choice. This study has several managerial implications. The suggested model of this study helps managers to get customers' insight, choose the right target market, and set integrated marketing communication strategies besides social media marketing strategies. The study represents a new perspective of consumer behavior that helps to understand how a customer behaves in virtual communities to trust and take the final decision to purchase.

• Journal of the Korean Geographical Society
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• v.42 no.4
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• pp.560-581
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• 2007

The purpose of this paper is to present a conceptual framework and a stage of development of trust building and to study the factors affecting on the trust building in economics space. Conceptual framework on trust building in economics space is combined of in the three approaches. The macro(structural and institutional) approach includes normative and regulative factors(laws, norms), and positionality in social and economic systems(beliefs, political ideologies, institutions). The meso(intersubjective) approach contains the personal fronts(expressive factors, social cues, significant symbols) and settings(physical space, intermediary such as technologies & knowledges). The micro(subjective) approach comprises the willingness(internalization of value) and calculation(risk and uncertainties analysis) of economic actors. According to sustainable cooperation among economic actors, trust building to the macro(structural and institutional) level, the meso(intersubjective) level, and the micro(subjective) level develop by stages. The factors such as long-term and repeated interaction, information sharing and reciprocity, interdependence and asset specificity, uncertainty, proximity, and culture & norm of corporate and formal institution are determinants on the trust building across economic actors in economic space.

• Journal of the Korean Home Economics Association
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• v.48 no.6
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• pp.119-132
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• 2010

The purpose of this study is to investigate the effect of the perceived motivations of the corporate social marketing to fashion brand and the process of consumer-brand relationship building. In this study, we proposed the hypotheses on the relationships among six focal variables. The collected data were analyzed by frequency analysis, reliability analysis, factor analysis and covariance structure analysis with SPSS 12.0 program and AMOS 7.0. 519 complete responses were obtained from core female adults consumers in fashion market. The results were as follows. First, philanthropic motivation significantly affected both benevolence and expert-based trust, but economic motivation significantly affected expert-based trust only. Second, there were significant effects in consumer trust and brand emotion. Third, the brand emotion had a strong influence on brand commitment. The results of this study will help fashion corporations to understand the relative importance of the two different motivations of CSR activities in building consumer-brand relationships.