Enhancing Buyers’ Perceptions of Product Quality: From Seller and Product Signals to eWOM

Abstract

Online transaction environment is full of uncertainties. To reduce online uncertainty, the first stage model examines the effect of extrinsic signals on perceived product quality, and the second stage model employs cue-diagnosticity framework to examine the influence of eWOM attributes (eWOM volume and eWOM consensus) on both perceived product quality and purchase intention. Our research questions are as follows, 1. Do IT-enabled solutions reduce uncertainty about sellers and products? 2. Do seller and product uncertainty affect buyers’ perceptions of product quality? 3. How do eWOM volume and eWOM consensus jointly influence buyers’ perceptions of product quality, and in turn their purchase intention? To answer these questions, this study will conduct two experiments. The first will explore the research model from the perspective of IT-enabled solutions in a laboratory setting, and the second will validate the effect of eWOM on perceived product quality based on the findings of the first experiment