Using data from a new field experiment in South Korea, we study how information from virtual communities such as stock message boards influences investors' trading decisions and investment performance. Motivated by recent studies in psychology, we conjecture that investors would use message...

Background: We examine the signaling effect of borrowers’ social media behavior, especially self-disclosure behavior, on the default probability of money borrowers on a peer-to-peer (P2P) lending site. Method: We use a unique dataset that combines loan data from a large P2P lending site with...

We design a series of online performance feedback interventions that aim to motivate the production of user-generated content (UGC). Drawing on social value orientation (SVO) theory, we develop a novel set of alternative feedback message framings, aligned with cooperation (i.e., your content...

Online users often need to make adoption decisions without accurate information about the product values. An informational cascade occurs when it is optimal for an online user, having observed others' actions, to follow the adoption decision of the preceding individual without regard to his own...

There are growing interests in understanding how word-of-mouth (WOM) on the Internet is generated and how it influences consumers' purchase decisions at retail outlets. A unique aspect of the WOM effect is the presence of a positive feedback mechanism between WOM and retail sales. We...

Social media-based expert blogs are a crucial and credible online information source for consumers, yet little is known about the role of expert blogs for general consumer brand perceptions that bestow long-term value for the firm. On the basis of a novel dataset with 7,871 brand-day...

This study examines the incentives for content contribution in social media. We propose that exposure and reputation are the major incentives for contributors. Besides, as more and more social media Web sites offer advertising-revenue sharing with some of their contributors, shared revenue...

This paper presents and extends Latent Growth Modeling (LGM) as a complementary method for analyzing longitudinal data, modeling the process of change over time, testing time-centric hypotheses, and building longitudinal theories. We first describe the basic tenets of LGM and offer guidelines...

In this paper, we develop a theoretical model to analyze the pricing strategies of competing retailers with asymmetric cross-selling capabilities when product demand changes. Our results suggest that retailers with better opportunities for cross-selling have higher incentives to adopt loss...

With the growing influence of online social media, firms increasingly take an active role in interacting with consumers in social media. For many firms, their first step in online social media is management responses, where the management responds to customers’ comments about the firm or its...