Warranty as a Factor for E-commerce Success

Dimitar Christozov, Plamen Mateev
InSITE 2003  •  Volume 3  •  2003
Two groups of factors impact the success of e-commerce transaction: environmental factors and content of the messages exchanged between the seller and the buyer. The first group includes factors describing the environment in which the seller-buyer relationship operates, such as IT infrastructure, Logistic Infrastructure, Financial Infrastructure, and Government regulations. Second group -- content of the message -- covers these elements of the message, which improve the trust between the two parties (especially the buyer’s trust). Among them, the statement about warranty plays critical role as the risk reducing information send by the seller. The two aspects of warranty message are considered: malfunctioning (the product does not operate as it is expected by the seller) and misinforming (the product does not operate as it is expected by the buyer).
e-commerce, warranty, risk, misinforming, malfunctioning
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