Harjit Sekhon

Trustworthiness and trust: influences and implications

Abstract This paper frames trustworthiness as the key upstream construct of trust and recognises that trust operates at two levels in services relationships, with a number of key drivers that are mediated by trustworthiness. Our findings are supported by survey data from customers of UK financial services, with the data points captured over a number of years which allow for fluctuations in trust level. Empirically we find that trustworthiness impacts both the cognitive and affecting dimensions of trust, with the impact being greatest on cognitive trust. As a result of our findings it is possible for practitioner to implement policies to not only build trust but also deal with issues where there is a need to rebuild it, as in the case of our research setting.

Building trust by signaling trustworthiness in service retail

Purpose – The purpose of this paper is to investigate the role of retailer trustworthiness in driving customer trust and the subsequent impact on loyalty. The authors position trustworthiness as a mediator in the link between retail strategies and the development of trust. They model customer loyalty to the service retailer as a function of the trust created through trustworthy perceptions. Design/methodology/approach – The authors validate their model using 420 survey responses from customers in a service retail setting. Nine research hypotheses were tested using structural equation modeling. Alternate models are estimated, and the results provide support for the theory-based trustworthiness mediation model. Findings – Trustworthy behaviors first build trustworthiness, which then translates into customer trust and ultimately has a positive impact on both behavioral and attitudinal loyalty. Research limitations/implications – The research highlights the importance for retailers to signal their trustworthi...

Perceptions of fair treatment in financial services: Development, validation and application of a fairness measurement scale

Purpose – The purpose of this article is to derive, test and validate a comprehensive, inclusive measure of perceptions of fairness in consumers of financial services, as current attempts to measure fairness in a broad-based multi-dimensional manner are underdeveloped. Design/methodology/approach – A quantitative approach where a large-scale sample of the perceptions of financial services consumers is taken in three periods. Subsequently, exploratory and confirmatory factor analysis are used to analyse the data. Findings – Fairness comprises three distinct but related elements, namely, procedural, interactional and distributive fairness, and further sub-dimensions are also apparent. The measurement scale exhibits a high degree of validity and reliability and represents a robust measure of fairness perceptions. Research limitations/implications – Previous conceptual suppositions as to the multi-dimensional nature of fairness are strongly supported. A comprehensive scale is provided for fellow researchers t...

Role of trusting beliefs in predicting purchase intentions

Purpose India’s retail sector is going through a significant transitional period with the internet as a new distribution channel becoming more common. Given the barriers to adoption, the purpose of this paper is to understand the role played by trusting beliefs when engaging with an online retailer. In the Indian market, online vending is expected to increase at a rate of 35 per cent per annum, and by understanding trusting beliefs retailers will be able to develop their market share by developing appropriate and/or innovative strategies. Design/methodology/approach The work is based on a sample of more than 200 internet customers in India. In understanding the data and the relationships that emerged from the modelling, the authors used a range of tools to analyse the data, including CFA and structural equation modelling. The authors also used descriptive statistics to provide a holistic overview of response profiles. Findings The study reveals that trusting beliefs are negatively influenced by an uncertainty avoidance culture and positively influenced by a firm’s image and a customer’s price awareness. Moreover, purchase intentions (PIs) are significantly enhanced by trusting beliefs in an online environment. Hence, it leads us to conclude that PIs can be augmented by facilitating and ensuring good quality service by placing special emphasis on timeliness, accuracy and conditions of the order, security and privacy paradigms, aftersales services, etc. Research limitations/implications As can be seen, the internet is an emergent tool for retailers in India. By understanding trusting beliefs, retailers will be able to better understand customers’ behaviour and thus design management strategies accordingly. Although this is likely to take more than a decade, as internet retailing becomes embedded it may have a detrimental effect on the historical channel to market, thus altering the country’s retail landscape which is currently dominated by small retailers. Practical implications The work’s findings are insightful for those seeking to maximize the opportunities presented by the internet as a channel to market. The works shows how the channel is influenced and thus how it can be managed. In making the contribution the authors provide guidance in terms of operational activity to engage with potential customers. Originality/value This paper examines trusting beliefs when using the internet as a channel to market and in doing so it makes a new contribution because it establishes links with culture and other factors. For the research venue the authors use a developing market and therefore the findings are applicable to markets with similar characteristics.

Service production process: Implications for service productivity

Purpose - – The purpose of this paper is to differentiate the production process within services from the dominant manufacturing-based production process, with the objective of delineating the production process in services and highlighting its implication for service productivity. Design/methodology/approach - – This study critically reviewed the extant literature on the production processes in manufacturing and services from a multidisciplinary perspective and proposed a framework for the service production process and its relationship with service productivity. Findings - – The production process for services differs from the dominant manufacturing-based production process and entails an input, transformation process and outcome dimensions. Therefore, any advancement in services, particularly the conceptualisation and measurement of service productivity, is dependent on the application of a service-specific production process. Research limitations/implications - – The understanding and delineation of the production process in services would further scholarly understanding of what is means to be productive in services and the impact on the validity of the conceptualisation and measurement of service productivity and other service-related concepts. Practical implications - – The proposed service-based production process can further managerial understanding of the measurement and management of productivity in services. Originality/value - – This paper delineates the production process in services and highlighted its implication for service productivity. This study, therefore, is a step forward in developing service-specific concepts and measures, particularly service productivity.

Predicting Internet banking adoption in India: a perceived risk perspective

The emergence of Internet banking has transformed the banking systems across the globe. As a channel to market, Internet banking allows geographical constraints to be overcome by offering various products and services at lower customer costs. An understanding of the factors influencing customer adoption of Internet banking is both relevant and timely. This study integrates technology acceptance model and perceived risk theory in understanding Internet banking acceptance among Indian bank account holders. Specifically, this study categorizes perceived risk as external risk and internal risk, and examines its influence on customer beliefs and adoption of Internet banking. Using two-step predictive analytics of structural equation modeling and artificial neural network analysis, the 270 responses reveal that both external risk and internal risk inhibit customer acceptance of Internet banking. More importantly, neural network analysis reveals that perceived ease of use and external risk are two important factors determining how well Internet banking is accepted by customers. The implications of the study findings and future research directions are presented.

The components of trustworthiness for higher education: a transnational perspective

Despite the strong theoretical foundation for the role of trustworthiness in building buyer–seller relationships, a lack of empirical evidence exists to validate the importance of trustworthiness in the Higher Education (HE) sector. Our research examines the drivers of trustworthiness across two distinct cultures – the UK and India, providing a significant contribution to the body of knowledge by understanding the role and nature of trustworthiness within HE. The results of the proposed model offer important insights into the process of understanding trustworthiness within the HE sector. First we establish the importance for HE institutes of building trustworthiness. Next, we empirically validate trustworthiness using data from two countries, and finally we confirm the vnproposed model using two sampling points, and provide directions for practitioners and theorists alike.

Perceptions of fairness in financial services: an analysis of distribution channels

Purpose – The purpose of this paper is to examine fairness within financial services. In making the contribution the authors examine fairness by four different channels to market and across a range of financial services products. The product categories in the study are those with the highest density levels in the UK. Design/methodology/approach – Underpinned by the development of new measures, this paper is based on telephone interviews and on-line surveys with UK customers of financial services. More than 1,000 customers participated in the survey during the middle of 2013. After reporting the measurement model, the authors use ANOVA to report the differences in the perception of the dimensions of fairness by channel to market. Findings – The authors found there to be significant differences in perceptions using different channels to market. The research shows that where a face-to-face interaction takes place, such as branch contact, they are perceived to be fairer than when interactions are more remote....

The impact of fairness on trustworthiness and trust in banking

Abstract Theorists and empirical researchers in marketing and other fields suggest that fairness is important in underpinning trust, which, in turn, is integral to developing and maintaining buyer–seller relationships. However, empirical investigation of fairness in the domain of marketing has, to date, been limited. Consequently, the relationship between fairness and trust is not well understood. Thus, the purpose of this study is to provide a fully developed social exchange model examining the differential effects of various dimensions of fairness on trustworthiness and customers’ trust. Data were collected from customers of banks and were analysed using confirmatory factor analysis and structural equation modelling. Findings of the study show that perceptions of fair treatment on the part of customers are important in driving trustworthiness and engendering trust.

A cross-country study of service productivity

ABSTRACT This study empirically examines service productivity and complements prior studies by framing service productivity as consisting of a number of key constituents. Adopting a bottom-up approach we present an integrative model proposing that resource commitment is the core from which employee readiness and customer readiness flow. These inform service productivity, which, in turn, informs job security. Our empirical examination reveals that service productivity has an impact on perceptions of job security, while resource commitment has the greatest impact on both employee readiness and customer readiness. In developing our integrative model we provide a framework that other researchers can apply, particularly where the service is highly intangible or in the public sector where service providers are being increasingly challenged to demonstrate value for money.