Abstract
The Online tourism transactions generally take place in an environment where the consumer of services often does not have sufficient information about the tourist establishment or the quality of the services offered. This urges the consumer to pay for the service before verifying it, which can put him in a vulnerable situation. Moreover, the tourist establishment knows exactly all the characteristics and the information on the service that it offers. The purpose of this paper is to provide a theoretical framework addressing the problem of information asymmetry in the literature, as well as the role of digital trust in converting Internet users into E-buyers. We propose a framework for analyzing the information asymmetry problem in the e-tourism market. We discuss the Kreps model and its implications for the management of the good reputation of tourist establishments based on their past behaviour translated by the “Rating” granted by their customers in previous transactions. Applying the Kreps model to our research framework, results in the integration of the rating reflects the reputation of tourist establishments, as a mechanism that engenders consumer confidence.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Notes
- 1.
Médiamétrie, 2016, http://www.mediametrie.fr/internet/communiques/.
- 2.
TNS-Sofres, 2009, https://www.tns-sofres.com/publications?etudes_publiees-education-2009.
- 3.
Source: Comptes des transactions courantes, Office de Change, 2017.
- 4.
Among the main phenomena that are at the root of failures in the pure and perfect competition market are asymmetric information, externalities and public goods.
- 5.
Signaling [6, 63, 64] represents a strategy adopted by the informed agent which consists of reporting to the uniformed agent all the information necessary for its decision-making, before the transaction. The informed agent is the one who decides first. Spence applies his signal theory to the labour market by admitting that the diploma can be considered as a signal sent by the potential employee to his employer on his skills and qualifications. This positive signal will allow the employer to eliminate candidates with lower degrees because they are supposed to be less productive than the others.
- 6.
- 7.
DGTPE, The Evaluation Notebook 2010.
References
Beldona, S., Morrison, A., O’Leary, J.: Online shopping motivations and pleasure travel products: a correspondence analysis. Tour. Manag. 26, 561–570 (2005)
Neuhofer, B., Buhalis, D., Ladkin, A.: Conceptualising technology enhanced destination experiences. J. Destin. Mark. Manag. 1, 36–46 (2012)
Chamberlin, E. (eds.): La théorie de la concurrence monopolistique. PUF-Pars (1953)
Arrow, K.J.: Uncertainty and the welfare economics of medical care. Am. Econ. Rev. 53, 941–973 (1963)
Akerlof, G.: The market for «lemons»: quality uncertainty and the market mechanism. Q. J. Econ. 1, 155–180 (1970)
Spence, M.: Job market signaling. Q. J. Econ. 87, 355–374 (1973)
Stiglitz, J.: The causes and consequences of the dependence of quality on price. J. Econ. Litt. 125, 1–48 (1987)
Alsberg, C.: Economic aspects of adulteration and imitation. Q. J. Econ. 46, 1–33 (1931)
Williamson, O.E.: The Economic Institutions of Capitalism. Free Press, New York (1985)
Stigliz, J.: Monetary and exchange rate policy in small open economies: the case of Iceland. Economics wp15_stiglitz (2001)
Estrin, S., Laidler, D.E.W.: Introduction to Microeconomics. Harvester Wheatsheaf, p. 505 (1995)
Rothschild, M., Stiglitz, J.: Equilibrium in competitive insurance markets: an essay on the economics of imperfect. Q. J. Econ. 90, 629–649 (1976)
Joseph, S., Andrew, W.: Incentive effects of terminations: applications to the credit and labor markets. Am. Econ. Rev. 73, 912–927 (1983)
Mattsson, J.: Information asymmetry, market signaling and high-tech start-up. In: TU-91.167 Seminar in Business Strategy and International Business (2002)
Shapiro, C.: Premiums for high quality products as returns to reputations. Q. J. Econ. 98, 659–679 (1983)
Kreps, D. (eds.): Théorie des Jeux et modélisation économique. Dunod-Paris (1990)
Chu, W.: Signaling quality by selling through a reputable retailer: an example of renting the reputation of another agent. Mark. Sci. 13, 177–189 (1994)
Milgrom, P., Roberts, J. (eds.): Economie, organisation et management. De Boeck Université Paris, Bruxelles (1997)
Spence, M.: Consumer misperception, product failure and producer liability. Rev. Econ. Stud. 44, 561–572 (1977)
Heal, G.: Guarantees and risk sharing. Rev. Econ. Stud. 44, 549–560 (1977)
Grossman, S.: The informational role of warranties and private disclosure about product quality. J. Law Econ. 24, 461–483 (1981)
Gal-Or, E.: Warranties as a signal of quality. Can. J. Econ. 22, 50–61 (1989)
Daughety, A.F., Reinganum, J.: Product safety: liability, R&D, and signaling. Am. Econ. Rev. 85, 1187–1206 (1995)
Ireland, N.: Information Asymmetries and Product-Quality Regulation, The Regulatory Challenge, Londres, pp. 191–209. Oxford University Press, Londres (1995)
Hollis, A.: Extended warranties, adverse selection, and aftermarkets. J. Risk Insur. 66, 321–343 (1999)
Bakos, Y.: The emerging role of electronic marketplaces on the Internet. Commun. ACM, 35–42 (1998)
Choi, S., Stahl, D., Whinston, A.: The Economics of Electronic Commerce. Macmillan Technical Publishing, Indiana (1997)
Wirtz, B.: Electronic Business. Gabler Verlag, Wiesbaden (2001)
Kuriyan, R., Kitner, K., Jerry, W.: Trust and ICTs for Development. Emerald Group Publishing Limited (2010)
Smith, M.: Building institutional trust through e-government trustworthiness cues. Inf. Technol. People 23, 222–246 (2010)
Kuriyan, R., Ray, I.: Outsourcing the state? Public-private partnerships and information technologies in India. World Dev. 37, 1663–1673 (2009)
Urban, G., Sultan, F., Qualls, W.: Placing trust at the center of your internet strategy. Sloan Manag. Rev. 42, 39–48 (2000)
Jarvenpaa, S., Tractinsky, N., Vitalec, M.: Consumer trust in an Internet store. Inf. Technol. Manag. 1, 45–71 (2001)
Gefen, D.: E-commerce: the role of familiarity and trust. Omega 28, 725–737 (2000)
Kini, A., Choobineh, J.: An Empirical evaluation of the factors affecting trust in web banking systems. In: The Proceedings of the 6th Americas Conference on Information Systems (2000)
Sabine, E., Ulrike, G., Markus, W.: Engendering trust in internet businesses using elements of corporate branding. In: Proceedings of the 6th Americas Conference on Information Systems (2000)
Hoffman, D., Novak, T., Peralta, M.: Building consumer trust online. Commun. ACM 42, 80–85 (1999)
Schoder, D., Yin, P.L.: Building firm trust online. Commun. ACM 1, 73–79 (2000)
Bartikowski, B., Llosa, S.: Categorizing attributes in relation to overall customer satisfaction in services, modelizations of the theory of variant and invariant weights (2002)
McKnight, D.H., Chervany, N.L.: What trust means in e-commerce custmer relationships: an interdisciplinary conceptual typology. Int. J. Commer. 6, 35–59 (2002)
Yoon, J.R.: The antecedents and consequences of trust in online purchase decisions. J. Interact. Mark. 16, 47–63 (2002)
Stewart, K.: Initial trust formation in new organizational relationships. Acad. Manag. Rev., 473–490 (2002)
Pavlou, P.: Consumer acceptance of electronic commerce: integrating trust and risk with the technology acceptance model. Int. J. Electron. Commer. 7, 101–134 (2003)
Kirmani, A., Rao, A.R.: No pain, no gain: a critical review of the literature on signaling unobservable product quality. J. Mark. 64, 66 (2000)
Buhalis, D.: Strategic use of information technologies in the tourism industry. Tour. Manag. 19, 409–421 (1998)
Wade, P., Raffour, G.: Tourisme et technologies de l’information et de la communication: le futur est déjà là, Conseil National du Tourisme (2000)
Hu, N., Liu, Zhang J.: Do online reviews affect product sales? The role of reviewer characteristics and temporal effects. Inf. Technol. Manag. 9, 201–214 (2008)
Hu, N., Pavlou, P., Zhang, J.: Can online reviews reveal a product’s true quality? In: Proceeding of the ACM Electronic Commerce Conference. ACMEC, Ann Arbor, MI (2006)
Mackiewicz, J.: Reviewer bias and credibility in online reviews. In: Association for Business Communication Annual Convention (2007)
Sparks, B., Browning, V.: The impact of online reviews on hotel booking intentions and perception of trust. Tour. Manag. 32, 1310–1323 (2011)
Tsao, W., Hsieh, M., Shih, L., Lin, T.: Compliance with eWOM: the influence of hotel reviews on booking intention from the perspective of consumer conformity. Int. J. Hosp. Manag. 46, 99–111 (2015)
Ladhari, R., Michaud, M.: eWOM effects on hotel booking intentions, attitudes, trust, and website perceptions. Int. J. Hosp. Manag. 46, 36–45 (2015)
Zhao, X., Wang, L., Guo, X., Law, R.: The influence of online reviews to online hotel booking intentions. Int. J. Contemp. Hosp. Manag. 26, 1343–1364 (2015)
Yu, Y., Guo, X., Zhang, Y., Zhao, H.: Online review impacts on hotel online booking decision (2016)
Cezar, A., Öğüt, H.: Analyzing conversion rates in online hotel booking: the role of customer reviews, recommendations and rank order in search listings. Int. J. Contemp. Hosp. Manag. 28, 286–304 (2016)
Flanagin, A., Metzger, M.: Digital media and youth: Unparalleled opportunity and unprecedented responsibility. In: Digital Media, Youth, and Credibility, MIT Press, pp. 5–27 (2008)
Flanagin, A.: Commercial markets as communication markets: uncertainty reduction through mediated information exchange in online auctions. New Media Soc. 9, 401–423 (2007)
Orléan, A.: A QUI SE FIER?: Confiance, interaction et théorie des jeux, Revue du MAUSS, vol. 4 (1995)
Kreps, D. (eds.): A Course in Micoeconomic Theory. Hervester –Wheatsheaf (1990)
Vickrey, W.: Counterspeculation, auctions and competitive sealed tenders. J. Financ., 41–50 (1961)
Mirrlees, J.: An exploration in the theory of optimum income taxation. Rev. Econ. Stud. 38, 175–208 (1971)
Riley, J.: Competition and hidden knowledge. J. Polit. Econ. 95, 227–252 (1985)
Spence, M.: Competitive and optimal responses to signals: an analysis of efficiency and distribution. J. Econ. Theory 7, 296–332 (1974)
Spence, M.: Informational aspects of market structure: an introduction. Q. J. Econ. 90, 591–597 (1976)
Author information
Authors and Affiliations
Corresponding authors
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2020 Springer Nature Switzerland AG
About this paper
Cite this paper
Oukarfi, S., Sattar, H. (2020). Asymmetric Information and e-Tourism: Literature Review. In: Bi, Y., Bhatia, R., Kapoor, S. (eds) Intelligent Systems and Applications. IntelliSys 2019. Advances in Intelligent Systems and Computing, vol 1037. Springer, Cham. https://doi.org/10.1007/978-3-030-29516-5_93
Download citation
DOI: https://doi.org/10.1007/978-3-030-29516-5_93
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-030-29515-8
Online ISBN: 978-3-030-29516-5
eBook Packages: Intelligent Technologies and RoboticsIntelligent Technologies and Robotics (R0)