HOW TO ESTABLISH TRUSTWORTHINESS IN INITIAL SERVICE ENCOUNTERS

Although the literature acknowledges the role of trustworthiness in initiating customer relationships, empirical findings are limited. Drawing on attribution and cue utilization theory, this paper proposes and tests a model that links individual and institutional trustworthiness to relationship initiation. An empirical study of consulting services reveals (1) the different effects of perceived individual versus institutional trustworthiness on relationship initiation, (2) relevant determinants of perceived individual and institutional trustworthiness, and (3) how institutional trustworthiness mediates the effect of individual trustworthiness on customer behavioral intentions. Implications for further research and managerial practice are discussed.