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  4. THE IMPACT OF REPUTATION AND QUALITY SIGNALS IN IMPERFECT MARKETS: CASE IN INDONESIA

THE IMPACT OF REPUTATION AND QUALITY SIGNALS IN IMPERFECT MARKETS: CASE IN INDONESIA

File(s)
Estiko_cornell_0058O_12001.pdf (6.38 MB)
Permanent Link(s)
http://doi.org/10.7298/grda-vr60
https://hdl.handle.net/1813/115615
Collections
Cornell Theses and Dissertations
Author
Estiko, Fauzi
Abstract

The rapid growth of e-commerce platforms has opened doors for small businesses to reach wider markets. However, these platforms also face challenges, particularly in terms of information asymmetry, where consumers struggle to gauge product quality. This study delves into the Indonesian e-commerce, specifically Tokopedia platform, focusing on the role of halal certifications, online labels, and historical firm reputation in addressing these challenges. Despite the cultural significance of halal certifications in Indonesia, the research found no significant impact of halal labels on sales. This could be attributed to the label’s subtle visibility on the platform and ingrained consumer purchasing behaviors. On the other hand, the Power Merchant label, a mark of a seller’s performance on Tokopedia, showed a more pronounced effect on sales, especially for the ones with highest and lowest sales. The findings underscore the importance of quality signals in online markets and suggest that platform-specific labels, backed by promotional efforts, can influence consumer decisions. Policymakers and e-commerce platforms should collaborate to enhance the visibility and understanding of such labels.

Description
41 pages
Date Issued
2023-12
Committee Chair
Gomez, Miguel
Committee Member
Yang, Nathan
Degree Discipline
Applied Economics and Management
Degree Name
M.S., Applied Economics and Management
Degree Level
Master of Science
Type
dissertation or thesis
Link(s) to Catalog Record
https://newcatalog.library.cornell.edu/catalog/16454769

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