The sudden boom in direct selling business in recent years has drawn a considerable number of participants. The mechanism that makes the participants stand out and entices consumers to buy products is crucial to them.
This study explores the impact that two independent variables, which are argument quality (central path) and source expertise (peripheral path), have on dependent variable purchase intention by using questionnaire survey within the framework of Elaboration Likelihood Model (ELM). It also uses initial trust as its external variable. Both argument quality and source expertise contain four variables in total: information quality, service quality, reputation, and structural assurance. This study tries to verify the association of how argument quality and source expertise correlate with initial trust, which in turn results in the changes of consumers' purchase intention.
The authors of this work intend to verify whether there are positive correlations between (a) information quality of direct selling products and initial trust; (b) the service quality of direct salespersons and initial trust; (c) the reputation of direct selling company and initial trust; (d) structural assurance of direct selling company and initial trust. In addition, this study may help direct selling company establish consumers' initial trust in purchasing direct selling products based on their various paths, and develop a better marketing strategy
Keywords: initial trust, direct selling, multi-level marketing, Elaboration Likelihood Model
Cheng-Hsien Tu, National Chung Hsing University, Taiwan
This paper is part of the ACP2014 Conference Proceedings (View)
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