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The Impact of Social Network Service, Trust and Cognition on Customer Loyalty in Internet Shopping

  • Sun, Han-Gil (College of Business Administration, Hankuk University of Foreign Studies)
  • Received : 2010.09.02
  • Accepted : 2011.02.01
  • Published : 2011.04.30

Abstract

The development of information technology improves the globalization of the world economy. This change was able to expand the cyber space, and the online community known as the cyber community is made within the existing offline community. From the cyber community's activity, the concept of social network services created, and recently developed social computing. Social computing is the current situation and the next step in the online community. Currently, most CIOs are using social computing for workplace empowerment. As online transactions become more active, the strategy to increase customer loyalty in Internet shopping is an effective tool to increase profit for the company, and as a method to maintain competitive. With the growth of electronic commerce, through insurance of customer loyalty on the Internet, a company can establish a long-term relationship with customers, so for this, it is important to have reliable relationship with customers. Also, through advertisement and commercial information, the cognition of Internet shopping looks can be effective in retaining customers. In this study, it explores how social computing and trust and cognition of Internet shopping are effective in maintaining customer loyalty. As the result of study, the trust and cognition of Internet shopping are significantly effective on customer loyalty, but the sense of social computing. Still, social computing has not matured enough to be as effective in retaining customer loyalty. However, it does indicate that social computing has significantly increased the trust and cognition in Internet shopping. In this study, as the concepts of the social network service and social computing are applied in Internet shopping, which are actively discussed by scholars, it is expected that the basis of the study could improve and present the idea of social shopping.

Keywords

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