Final Project: Business Mathematics and Statics

Instructor: Dr. M. Shakaib Akram Class: MBA-F 2K11 Due Date: March 02, 2012 (17hrs)
A questionnaire has been developed to measure consumers trust in the website, ease of use, satisfaction and its values. A thorough review of the literature shows that trust in the website has three dimensions, integrity, benevolence and competence. After fifteen qualitative interviews, you have generated 13 statements to measure trust in the website. Trust has been measured by three factors including integrity, benevolence and competence. Each of these dimensions has been assessed by using multiple items (see table below).
Integrity 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 Confidence HONEST PROMISES SINCERE HELPING CARING COMFORTABLE COMPETENT EFFECTIVE ADVICE SERVICE Job NON-DECEPTION NAVIGATION ORGANISATION ORIENTATION MEMORIES RIGHT CHOICE RIGHT DECISION WORD_OF_MOUTH RECOMMENDATION VALUES EASY RESSOURCES JUSTICE PURCHASE AGE PROFESSION SITE The site is trustworthy The site is honest The site keeps its promises The site is sincere If I need help, the site will help me solve the problem The site is interested in me, not only in my wallet I like the way transactions are conducted on site The Site is competent The site is effective The site gives good advice The site provides good service The site knows its job The site does not disappoint The site is very easy to navigate The site is well-organized I always know where I am when I browse the site I have good memories of my last visit to this site On the site I'm sure (e) to make the right choice The decision to go to the website was right I will talk good about this site around me I will recommend this site to my friends I share the values of the site Relations with the site are easy The site put its resources to serve its customers The site behaves in a fair, reasonable manner with clients Number of internet purchases in the last six months? What is your year of birth? What is your profession? Which internet site you have visited?

Benevolence

Competence

Ease of use

Satisfaction

Value

Demographics

Data has been collected using a web survey eliciting 209 responses. These include 72 E-bay site users, 72 Amazon users and 65 PrivateSale site users. The respondents have expressed their level

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of agreement/disagreement vis--vis each statement using a 6 points Likert scale (ranging from 1 = strongly disagree, 6 = strongly agree). Data is available in the attached file. You are required to answer the following questions: Q1: Which is the most appropriate method of analysis to assess the dimensionality of the scale measuring trust? Give three reasons for your choice. Q2: Is the sample size sufficient for this type of study (measuring trust in online website)? Q3: Which statistical method do you suggest to assess the overall quality of the 13 statements measuring trust? Q4: Are there any statements to eliminate or to reverse code for the measurement of trust? Q5: Should we analyze the correlation matrix or covariance matrix between the statements measuring trust? Q6: How many dimensions of trust can be extracted from the data? Use multiple methods to justify your choice. Q7: What is the overall percentage of explained for each statement? variance explained? What percentage of variance

Q8: Perform the rotation of your choice (orthogonal or oblique)? Justify your choice. Q9: Which statements would you finally use to measure each factor of trust? Q10: What is the reliability (internal consistency) of each dimension of Trust?

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