Online consumer review and group-buying participation: The mediating effects of consumer beliefs

This paper aims to examining the extent to which online consumer review (OCR) influences consumer beliefs and participation in online group-buying. We design a conceptual model and propose several hypotheses to articulate the relevant causal relationships in line with the social exchange theory and the theory of institution-based trust. The empirical results unveil that OCR significantly influences consumer perceptions in terms of perceived effectiveness, perceived structure assurance, and familiarity with intermediary, while consumer satisfaction and trust in intermediary significantly mediate the relationships between consumer perceptions and continuance use of online group-buying. The present study advances the theoretical understanding of the impact of consumer review and the mediating effects of consumer beliefs in the context of online group-buying. The findings make contributions to research and practice with managerial implications for the application of social media in electronic commerce and mobile commerce.