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The study examines how two types of trust – institutional and system trust – predict online banking intentions (OBI) as a function of generational cohort membership.

The study uses a cross-sectional survey of 559 U.S. Amazon Mechanical Turk (MTurk) members using quota sampling from three generational groups: SGI (born before 1946), older boomer (born 1946–1954), and millennial (born 1977–1992).

Results showed generational cohort differences in system and institutional trust as well as OBI. Serial mediation model results showed the model where institutional trust precedes system trust best explains the relationship between generational cohort membership and OBI.

While diverse, the sample comprised of MTurk workers and relied on self-report measures of behavioral intentions, thus limiting the generalizability of our findings.

This study introduces two levels of e-trust into the technology acceptance literature and provides a guideline for financial institutions and system designers to understand the role of trust in driving online service adoption and use for different generations.

This study explores generational differences in technology use with special focus on older adults, which is yet to be fully explored in the literature. This study differentiates between two levels of e-trust and explores the order in which both trust types mediate the relationship between generational cohort membership and OBI.

Why do strangers in collectivist societies act prosocially? Previous work indicates that generalized trust (trust in strangers) is necessary for prosocial behavior; however, generalized trust exists at low levels in collectivist societies. Researchers have also argued that without trust among strangers, social order is threatened. Yet, collectivist societies are not characterized by social disorder; therefore, individuals must be acting prosocially. Without generalized trust, how is this possible? In this work I argue that institutional trust (a belief that institutions induce others to act in a trustworthy manner) is responsible for prosociality in collectivist societies, not generalized trust. Does a similar relationship hold in individualist societies? Although some evidence suggests that prosocial behavior is predicated by generalized trust, other evidence indicates that the stronger predictor is institutional trust. All arguments are tested with data from the World Values Survey (WVS) with data from 14 countries. Results from regression analyses are reported. The chapter concludes with implications and directions for future work.

This chapter aims to develop an institutionalist concept of faith based on Williamson's concept of ‘institutional trust’ and Coleman's contribution to ‘placement of trust’. As a starting point, it considers the social capital literature on trust from the perspective of institutional economics and economic anthropology. ‘Institutional faith’ posits as a normative state the inevitability of trust with regard to certain questions human beings cannot answer. This has a behaviour-channelling effect which makes, e.g. for institutional stability. The proposed concept is evaluated critically by contrasting it with T. Kuran's concept of ‘preference falsification’ in the Hindu caste system. Finally, the concept is challenged by today's Hindu fundamentalism and makes a differentiation between fundamentalism and institutional faith.

Institutional trust is vital for social and economic activity and crucial in reducing uncertainty for entrepreneurs and society. To shed light on the role of institutional trust on productive entrepreneurial activity, this paper analyses the impact of six urban entrepreneurial ecosystems (EEs) using the contexts of the transition economies of Eastern Europe, Caucasus and Central Asia. This study aims to pursue the research question: what role does institutional trust play in the relationship between formal institutions and productive entrepreneurship in the EEs of transition economies? This paper aims to posit that the development and enforcement of formal institutions and institutional trust enhance productive entrepreneurship.

In this study, the authors apply a mixed-method approach. The authors’ dataset includes 657 respondents (ecosystem stakeholders) from six city-level entrepreneurial ecosystems in the transition economies of Georgia, Ukraine and Kazakhstan, as well as 51 semi-structured interviews from EE representative stakeholders to examine the validity of the findings.

Institutional trust in many cities has been negatively affected by institutionalised corruption and continuous non-transparent reforms, furthering prior research in developing and transition economies. The authors’ findings suggest that institutional trust can be investigated not as a country phenomenon but as a regional phenomenon extending prior research towards understanding the institutional trust – productive entrepreneurship research domain at the city EE level.

The authors apply the institutional trust perspective to the EEs in cities in order to examine how institutional trust affects productive entrepreneurship in challenging institutional environments. The authors contribute to the literature on institutions and entrepreneurship by using a mixed-method analysis to examine the relationship between formal institutions and institutional trust in the context of EEs in transition economies.

The purpose of this paper is to focus on the effects of interpersonal and institutional trust on welfare state support in the countries of Eastern Europe and the former Soviet Union (FSU).

The authors use micro-data from two rounds of a multinational survey conducted in these countries in 2010 and 2016. The outcome variable of interest is the willingness to pay more taxes to support the welfare state. The authors define the welfare state broadly, and focus on support for three main domains of the welfare state, namely, support for the needy, public healthcare and public education. Binomial regression is used to establish influence of interpersonal and institutional trust on welfare state support.

The authors find that both interpersonal and institutional trust have positive influences on strengthening support for the welfare state against a number of alternative explanations for public support for the welfare state. These positive effects remain the same for all three domains under investigation, namely, helping the needy, public healthcare and public education. Furthermore, these positive effects were observed both in the relatively less developed countries of the FSU and in the more developed Eastern European countries. Moreover, the positive effects of interpersonal and institutional trust on support for the needy, public healthcare and public education were found to grow over time.

The findings indicate that the benefits of nurturing social capital will likely be substantial. Decision-makers, politicians, welfare state administrators and multinational founders (e.g. the UN and World Bank) should acknowledge the role played by trust in influencing the citizenry’s support for the allocation of financial resources toward the development and maintenance of the welfare state. The findings imply that welfare state reforms could prove be more effective within a social context where levels of trust are high. Thus, special attention should be paid to initiatives aimed at developing strategies to build trust.

Social welfare reforms in post-communist transitional countries may fail without active strategies aimed at nurturing institutional trust. One way to nurture institutional trust is through making additional efforts at enhancing the levels of accountability and transparency within a society as well as through increasing citizen engagement. Another way to build increased levels of trust is to take part in a variety of initiatives in good governance put forth by multinational initiatives.

As far as the authors know, this is the first paper which studies effect of interpersonal and institutional trust on support of the welfare state using a large and diverse sample of 27 countries over the period of five years. This is the first study which focuses on post-communist countries where trust is inherently low.

This study aims to verify the respective and interactive effects of subnational formal and informal institutions (i.e. legal effectiveness and social trust) on foreign firm performance, and further identify the contingent factor (i.e. institutional experience) that moderates these relationships.

Drawing on the institutional-based view, this study develops several hypotheses that are tested using a comprehensive dataset from four main data sources. The authors’ unit of analysis is foreign firms operating in China. The authors ran ordinary least squares (OLS) regression model to investigate the effects. A series of robustness tests and endogeneity tests were performed.

The results show that both legal effectiveness and social trust at subnational level positively affect foreign firm performance respectively. Legal effectiveness and social trust at subnational level have complementary effect in promoting the performance of foreign firms. Foreign firm's institutional experience in target region of emerging economies host country strengthens the positive impact of subnational legal effectiveness on performance, but weakens the positive impact of subnational social trust on performance.

It is important to fully understand the impact of heterogeneous institutional environments of subnational regions in emerging economies on foreign firm performance, which would help foreign firm make a more suitable secondary choice decision of investment destinations at the subnational regional level.

First, drawing on institutional-based view, the authors incorporate the subnational formal and informal institutional factors to investigate their impacts on foreign firm performance by switching the attention from national level to subnational level in emerging economy host countries. Second, this research furthers existing studies by bridging a missing link between both subnational formal and informal institutional environments and foreign firms' outcomes. Third, the authors prove that the model of subnational formal and informal institutions in influencing foreign firms' performance is contingent on their institutional experience in target subnational region of emerging economy host country.

Informal entrepreneurship challenges sustainable economic performance and is a barrier to productive entrepreneurship. In this context, the level of development of formal and informal institutions and their impact on informal entrepreneurship is crucial. This chapter examines the informal sector entrepreneurship in Kosovo using institutional theory lenses. Using a survey with 500 owners/managers of private companies, the study finds that the service industry has the highest participation in the informal economy compared to other sectors. On average small firms, compared to larger ones, report a higher percentage of unreported incomes. Our findings also suggest that when informal entrepreneurs perceive penalties for tax avoidance from tax authorities as high, they tend to have higher compliance with reporting their income. In addition, our findings indicate that the higher the vertical (trust in formal institutions) and horizontal distrust (trust in business partners), the higher the involvement in the informal economy. The chapter concludes with some policy implications for tackling the informal economy in Kosovo and similar institutional contexts.

This study aims to examine the impact of different subtypes of trust on the willingness of companies to share knowledge. To measure improvement in work performance, three perspectives of interpersonal trust, institution-based trust and their combined effect on fostering trust are examined.

A comparative analysis and quantitative measurement are used in this study (with a sample size of 147) to determine which knowledge-sharing channels need to be established to increase effectiveness and efficiency.

This study found that both interpersonal and institutional trust can positively influence employees' willingness to share personal knowledge. Despite this, the combination of these two types of trust cannot outperform the scenarios in which one type of trust can reach its maximum. As a result of institutional trust, trustees are more likely to trust others when they feel protected.

Trust may take on multiple dimensions in different business contexts and industries. In this study, the limited sample size and domain may only reveal some of these aspects of trust, which may not be representative of other contexts.

Few researchers have examined the degree of trust and its impact on knowledge dissemination using relevant parameters. Their focus is solely on the interaction between interpersonal trust and knowledge sharing. As a result of this study, the concept of “trust” was quantified, with more tangible metrics to provide better estimates when assessed in different business contexts.

Although recent years have shown increasing popularity of e-commerce worldwide, there is still a lack of studies comprehensively exploring trust issue in e-commerce. Based on trust transfer theory and signaling theory, the purpose of this paper is to present an integrated research model to test the relationships between trust dimensions and e-loyalty, interactions among trust dimensions, as well as antecedents of different trust dimensions.

Data were collected through a web-based survey in Chinese markets and structural equation modeling with partial least squares was used to analyze the data.

The results identified that three trust dimensions all have significant impacts on e-loyalty, and relationships existed in different trust dimensions. Moreover, information quality and security protection are important factors determining institutional trust while store reputation is the most salient factor determining interpersonal trust.

This research contributes to the body of knowledge on trust by exploring the nature of trust with a multidimensional scale. Another theoretical contribution is the provision of a comprehensive understanding of the trust antecedents in e-commerce. Furthermore, this research benefits the companies doing e-businesses by allowing them to better understand how to improve consumers’ trust in the online environment and thus to retain and attract more loyal customers and succeed in online businesses.

This study aims to investigate the relationship between institutional trust, dispositional trust and trust in takaful products with the mediating effect of service-provider expertise.

The data for this study were collected from 385 takaful policyholders from Lahore and Islamabad, Pakistan. The relationship is estimated with PLS-SEM using the bias-corrected bootstrapping method.

For paths 1 and 2, the results suggest a significant positive relationship between institutional trust, dispositional trust, service provider expertise and trust in takaful products. Results for the bias-corrected bootstrapping model revealed that service provider expertise mediates the relationship between intuitional trust, dispositional trust and trust in takaful products.

Data were collected from provincial and federal capital cities of Pakistan where institutional setting is much much as compared to other cities

From the managerial perspective, the dispositional trust would help them in choosing appropriate marketing strategy, segmentation, new product development, targeting and positioning to increase penetration. At the same time, takaful companies need to improve their expertise, knowledge and information-sharing mechanism for fostering overall consumer perception of trust in takaful products.

Insurance, conventional or Islamic, is meant to transfer risk to the third party. Regulators need to improve overall institutional factors because improvement will strengthen the trust level of the general public. Stringent institutional settings act as a sense of strong structural assurance and situational normality. A rise in trust level would induce people to purchase more policies and carry on risky investments that would ultimately result in higher economic growth.

To the best of the authors’ knowledge, no empirical study has been conducted to examine the impact of institutional and dispositional trust on trust in takaful products with the mediating effect of service provider expertise