Repurchase intention in the Chinese e-marketplace: Roles of interactivity, trust and perceived effectiveness of e-commerce institutional mechanisms

Abstract

Purpose

Retaining customers is very important for the survival of e-commerce sellers. The purpose of this paper is to investigate the roles of computer-mediated communication (CMC) tools, interactivity, trust and perceived effectiveness of e-commerce institutional mechanisms (PEEIM) in influencing customer’s repurchase intention in the Chinese online e-commerce marketplace.

Design/methodology/approach

The research model is empirically tested using survey data analyzed with partial least squares structural equation modeling.

Findings

This study confirms the positive relation between customer satisfaction and trust in the seller, which further contributes to repurchase intention. Results also support the positive influences of effective use of an instant messenger and feedback system on customer perceived interactivity, which helps enhance trust in the seller. PEEIM demonstrates interesting results regarding its moderating effects.

Research limitations/implications

In the future, researchers can extend the study to other e-commerce platforms and take trust transfer effects and product categories into consideration.

Practical implications

This study highlights the importance to manage trust, PEEIM, interactivity and CMC tools in e-commerce platforms, assisting practitioners to develop appropriate business strategies and processes to retain customers.

Originality/value

This study extends previous investigations by integrating trust and PEEIM with interactivity and testing the model in the context of the Chinese online marketplace.

Citation

Bao, H., Li, B., Shen, J. and Hou, F. (2016), "Repurchase intention in the Chinese e-marketplace: Roles of interactivity, trust and perceived effectiveness of e-commerce institutional mechanisms", Industrial Management & Data Systems, Vol. 116 No. 8, pp. 1759-1778. https://doi.org/10.1108/IMDS-07-2015-0296