Rating Systems

Many online merchants today, such as eBay and Amazon, use rating systems empowered by its customers. Is this adequate for determining which products to buy, or which users to trust? Cite examples from these two merchants that support your opinion (whether it is good enough, or inadequate).

I think that rating systems are the only way to ensure trust when dealing with online merchants. People who are buying online do not know the quality of the products besaides what it says in the description. People need to be able to look at past transactions and decide if the user is trustworthy and decide if the product is what they are buying. Ebay uses a feedback system where people who bought from the user discuss their personal transaction with them. They talk about shipping, correct advertisement, product quality,and pleasant dealing with the seller. Buyers can look at this information and determine if they are willing to do business with the seller and pursue his products. Ebay has a % that tells the buyer about the sellers feedback when dealing with his customers. Anything around the up 90th percentile should constitute a "top-rated" seller. Amazon has a star rating system that shows how many people reviewed the product and how many starts the consumer gave the product. It gives the most helpful review as opposed to the most helpful critical review. This allows the buyer to look at both sides of the spectrum and decide which review outweighs the other. For example: the helpful review tells the buyer why the cell phone is great and how it helped them personally while the critical review allows the buyer to know some common problems or downfalls the product has. These rating systems allow users to experience all facets of knowledge that would not have in a store when they are dealing with the product and seller first hand. Rating systems have their downfalls, but they are the beast way to ensure trust in buying products online. Rating systems will continue to improve and so will the effectiveness of the online merchant community.