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Article
Does a Seller’s eCommerce Reputation Really Matter? Evidence from eBay Auctions
Journal of Industrial Economics (2002)
  • Mikhail I. Melnik, Kennesaw State University
  • James Alm, Georgia State University
Abstract
With internet commerce, a buyer cannot directly examine the product and so must rely upon the accuracy and reliability of the seller in deciding whether and how much to bid. In this setting, the seller’s reputation can become an important factor in the bid. This paper examines the impact of the seller’s reputation on the willingness of buyers to bid on items sold via internet auctions, using a 1999 mint condition U.S. $5 gold coin whose average price was $32.73. The empirical results show that the seller’s reputation has a positive, statistically significant, but small impact on the price.
Publication Date
September, 2002
Citation Information
Mikhail I. Melnik and James Alm. "Does a Seller’s eCommerce Reputation Really Matter? Evidence from eBay Auctions" Journal of Industrial Economics Vol. L Iss. 3 (2002)
Available at: http://works.bepress.com/mikhail_melnik/1/