From doubt to decision public reports and the building of trustworthy markets

Abstract

Consumer trust is the main element of efficient market operation, especially in the context where information about products is asymmetric and consumers cannot fully verify the properties of goods before purchasing. In this scenario, products in products, such as certifications, quality reports and evaluations from independent organizations, play a key role as signaling mechanisms that help reduce uncertainty and facilitate informed purchasing decisions. The literature has shown that the reliability and transparency of these messages can directly affect the level of consumer trust placed in both the products and the institutions responsible for regulating them. However, the effectiveness of these public reports is not homogeneous and can be influenced by sociodemographic factors, past experience, risk perception and institutional context in which they are placed. In countries with institutional insufficiency or a history of corruption, they can destroy trust in public control systems by reducing consumer action to pay for differentiated products or with quality attributes that are not directly observed. Therefore, it is important to understand the role of public reporting on consumer trust in the development of public policies and business strategies aimed at strengthening more transparent and efficient markets.