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Impersonal Trust in B2B Electronic Commerce: A Process View 253
1985), I argue that credibility is also a robust form that is increasingly important in
the impersonal environment of B2B eCommerce.
Many authors argued that trust is only embedded in repetitive transactions and
ongoing relationships, essentially arguing that impersonal trust is not a true form of
trust but a functional substitute for it (Granovetter, 1985; Williamson, 1993). Sitkin
and Roth (1993) argued that ‘legalistic remedies’ are not effective in creating trust,
while Granovetter (1985) maintained that institutional processes are ‘functional
substitutes’ of trust. On the contrary, Shapiro (1987) argued that institutional
practices and norms could provide a very strong level of trust. In sum, the role of
impersonal trust in the literature has been controversial; however, given the
importance of impersonal trust in today’s B2B eCommerce, this chapter attempts
to disentangle the complex notion of trust and encourage research on the antecedents,
underlying trust-building cognitive processes and consequences of each
distinct dimension. By examining the two types of trust independently, research
could validly conclude which type is robust, easy to build and maintain, and
consequential.
Lewicki and Bunker (1995) argued that there are different levels of trusting
relationships with impersonal processes as the most fragile and familiarity ones as
the most robust. However, the impersonal processes are fragile if the underlying
institutional structure is fragile, and the signals and incentives are weak. Given strong
and well-accepted institutional rules, practices and norms to guide B2B eCommerce,
impersonal trust can also become a robust mechanism to govern interfirm economic
activity. Even if familiarity trust is indeed more robust, familiarity may not always be
possible in eCommerce, since it may be physically or socially difficult to personalize
all interfirm relationships, and it might also have negative economic consequences
(Helper, 1991). Therefore, impersonal trust can be encouraged in B2B exchanges
without significant costs, and provide substantial benefits to the participating firms
without forcing them into repetitive transactions.
Managerial Implications
This study has practical implications for the ways B2B exchanges might
increase the general level of interorganizational trust. Heightening the extent of firm
accreditation, improving feedback mechanisms, and ensuring an effective monitoring
and legal system promotes a trustworthy environment. Failure to provide these
antecedents of trust might reduce the general level of credibility in the marketplace,
which would eventually force firms to seek other alternatives. Moreover, this study
proposes that impersonal trust is an important determinant of satisfaction, reduced
perceived risks, anticipated continuity and favorable pricing. These associations set
new standards for B2B exchanges; an important consideration should be to
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