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1 P M J O U R N A L O F D I G I T A L R ESEARCH & P UBLISHING the products they purchased. Taobao brings users “sense of welcome and belonging” and encourages them to “want to be more involved”. Some even feel that Taobao offers not only transactions, but also a culture. (Chen, et al., 2007). 2 Similarity between eBay and Taobao in China Online Market Reputation System There are many sites such as eBay and Taobao using reputation systems, which include “the cost of her physical facility and her understanding in the community”(Resnick, et al., V;;:1M&`6&039&$"C(%"5%&6+%&4"3#&8%5$*$7"&7D&'76%"6$3#&6>3"*356$7"&'3>6"%>*M&B+%*%&*9*6%0*& collect evaluating information such as feedback comments and rating scores of the sellers from the past buyers and make that information available to the public for future buyers to >%I$%GM&/*&3&>%*(#6S&'7*$6$I%&>36$",*&+3I%&3&*$,"$453"6&'7*$6$I%&$0'356&7"&6+%&'%>D7>03"5%& of sellers, while negative ratings have a negative reputation effects. Moreover, seller reputation effects on sales price, number of sales, and total revenue (Ye, et al., 2009). By reading the seller rating, future buyers can get to know how credible that seller was in the past and determine whether they would make the deal with that seller or choose another seller. With the development of Internet action sites, “reputation is common knowledge or at least commonly available knowledge.” (Resnick, et al., 2004). Auction sales data collected from eBay shows that “an increase of positive ratings from 0 to 15 resulted in an increase 7D&3)7(6&rs&$"&6+%&4"3#&*3#%*&'>$5%mM&.j7(*%>&T&i778%>S&V;;n1M&/"76+%>&*6(89&D7("8&6+36& l3&*%##%> *&7I%>3##&>%'(636$7"&+3*&*$,"$453"6&$0'356&7"&6+%&)(9%> *&G$##$","%**&67&'(>5+3*%& (LuckingReiley et al., 2007; Melnik, et al., 2005). According to the study of Ye, et al. (2009), the reputation mechanism of Taobao is similar to that of eBay. Seller ratings are often grouped into three categories: positive, negative and neutral. There is a rating score “calculated for each seller based on total number of positive >36$",*& 0$"(*& 6763#& "(0)%>& 7D& "%,36$I%& >36$",*mM& [%,36$I%& >36$",*& $"5#(8%& l("R(*6$43)#%& delays in product delivery, inferior product quality, and failure to acknowledge warranties”. Positive ratings include prompt reply, great service (communication, packaging, and shipping), low price and high quality product. In addition, a buyer can give their feedback rating to a seller only after a transaction has been completed between the two parties (Ye, et al., 2009). Users also have the opportunity to leave an online text comment and rated individuals can respond to comments that they feel were unfair (Resnick, et al., 2004). 176
1 P M J O U R N A L O F D I G I T A L R ESEARCH & P UBLISHING However, Nelson (1970) and Klein (1998) state that the importance of seller rating may 8%5>%3*%&G+%"&6+%&'>78(56&*'%5$4536$7"&$*&*63"83>8$*%8&3"8&6+%>%&$*&"7&570'3>$*7"&7D&6+%& product brand. Only when the same sales prices have been given, the higher rating score may help to generate more sale transactions. Based on my own experience making purchases from Taobao, sellers usually try very hard to avoid negative ratings. The sellers always reply my question about color and size 3*&*77"&3*&'7**$)#%&3"8&6+%9&7DD%>&'3**$7"36%&3"8&'36$%"6&*%>I$5%M&/D6%>&5(*670%>*&4"$*+& the payment online, they send products quickly. Some buyers even make unseasonable requests or have an impatient attitude, yet they still do their best to give a satisfactory reply because they worry about the potential negative ratings that would affect their future sales. In auction markets, eBay has something similar. The researcher can get measurements in detail, which include positive and negative of the current reputation (Resnick, et al., 2004). Conclusion `"&57"6%0'7>3>9&%#%56>7"$5&)(*$"%**S&5(#6(>3#&D3567>*&+3I%&)%570%&3&5>(5$3#&3"8&$"C(%"6$3#& aspect in online trading performance. Cultural under the perspective of digitisation is 3&"%G&$**(%&G%&"%%8&67&*6(89&)%53(*%&5(#6(>3#&8$DD%>%"5%*&$"C(%"5%&6+%&8%I%#7'0%"6&7D& ecommerce. It also has great impact on how much market share could be possessed. i%)& 8%*$,"& +%#'*& 5(*670%>*& 8%5$8%& )%D7>%& 6+%& 6>3"*356$7"S& 5700("$536$7"& $"C(%"5%*& the customers` attitude in the process and reputation system and guides them whether 7>&"76&67&+3I%&6>3"*356$7"&3,3$"M&B+%9&3##&$"C(%"5%&5(*670%> *&'(>5+3*$",&)%+3I$7(>M&/*& a result, having comprehensive understanding of cultural difference and apply it to the '>356$53#& 6>3"*356$7"& G7(#8& )%"%45$3#& D7>& 6+%& 8%I%#7'0%"6& 7D& %#%56>7"$5& 5700%>5%& 3"8& help companies make greater promotion. References Barber, w., & Badre, A.N., 2001. Culturability: The merging of culture and usability. In: Proceeding of the 4th Conference on Human Factors and the Web. Basking Rideg. USA: New Jersey. Chen, J., Zhang, C., Yuan, Y., & Huang, L., 2007. Understanding the emerging C2C elec tronic market in China: an experienceseeking social marketplace. Electronic Markets, 17(2), pp.86100. 177
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a large proportion of Chinese netiz
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issue and not be interfered by any
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approach is to look at it from the
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