12. Acceptance & Success Factors in Mobile Business Flashcards
Which factors are important to acceptance & success in M-Business?
- building customer trust
- acceptance of technology in the market
- diffusion of M-Business applications & services
What are issues regarding customer acceptance?
- WTP
- network effects
- ease of use
- quality of service
- product limitations
- trust in service provider
Implication of Definition of Trust
- trust relationships involve 2 parties
- trust involves uncertainty & risk
- trustor has faith in trustee’s honesty & believes that he won’t betray him
Trust Development Life Cycle
Information gathering -> 1st transaction based on reward attraction -> evaluation of satisfaction (eventually repeat) -> drop out due to distrust/firm customer loyalty founded
As mobile technology evolves, trust focus shifts from .. to..
from technology to mobile service provider
How to: Initial Trust Formation (5)
- enhance customer familiarity
- build vendor reputation
- deliver high-quality information
- bring out 3rd-party recognition & certification
- provide attractive rewards
How to: Continuous Trust Building (8)
- Improve website quality
- Sharpen business competence
- Maintain company integrity
- Post privacy policy online
- Strengthen security controls
- promote a virtual community
- Encourage communication & increase accessibility (build synergies, reduce ASIV, promote provider credibility)
- Use external auditing to monitor operations
Adoption
(psychological process) sequences of stages, a potential adopter goes through before accepting a
new product or service == decision to purchase ( acceptance: decision to use)
Diffusion
process by which an innovation is communicated through certain channels over time among members of a social system
Innovation
adoption of an idea/behavior that is new to the adopting organization
Theory of Reasoned Action (TRA)
Individual behavior is driven by behavioral intentions.
- > Actual use of an innovation is determined by individual’s behavioral intention to use it
- > Behavioral Intention is a function of:
- ATTITUDE: individual’s positive or negative feelings about performing a behavior, determined through an assessment of one’s beliefs
- SUBJECTIVE NORM: INDIVIDUAL’S perception of whether people who are important to this individual think the behaviors should be performed
pros/cons of TRA
+ simple, straight-forward model
- significant risk of confounding between attitude & norms (since attitudes can also be
reframed as norms & vice versa)
- assumption that someone is free to act without limitation BUT in reality: constraints like
limited ability, money, time, etc.
Technology Acceptance Model (TAM)
Based on TRA -> provides basis for tracing the impact of external variables on internal beliefs, attitudes & intentions.
- > Two factors for explaining system use:
1. PERCEIVED USEFULNESS: degree to which a person believes that using a particular system would enhance his or her job performance (has more impact)
2. PERCEIVED EASE: degree to which a person believes that using a particular system would be free from effort
pros/cons of TAM
- assumption that someone is free to act without limitation
+ but ease of use takes at least some limitations into account
Diffusion of Innovations (DOI)
Diffusion as process by which an innovation is accepted by a social system (e.g. market) -> rate of diffusion = speed
