The DOI matches its Crossref record; 5 of the 5 references it cites were found in a registry or an index.
Online Social Interactions: A Natural Experiment on Word of Mouth versus Observational Learning
Open accessAbstract
Consumers’ purchase decisions can be influenced by others’ opinions, or word of mouth (WOM), and/or others’ actions, or observational learning (OL). Although information technologies are creating increasing opportunities for firms to facilitate and manage these two types of social interaction, to date, researchers have encountered difficulty in disentangling their competing effects and have provided limited insights into how these two social influences might differ from and interact with each other. Using a unique natural experimental setting resulting from information policy shifts at the online seller Amazon.com , the authors design three longitudinal, quasi-experimental field studies to examine three issues regarding the two types of social interaction: (1) their differential impact on product sales, (2) their lifetime effects, and (3) their interaction effects. An intriguing finding is that while negative WOM is more influential than positive WOM, positive OL information significantly increases sales, but negative OL information has no effect. This suggests that reporting consumer purchase statistics can help mass-market products without hurting niche products. The results also reveal that the sales impact of OL increases with WOM volume.
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Cites
Specification Tests in Econometrics
Hausman, J. A. (1978) · Econometrica · doi:10.2307/1913827 · Cited by 18,820
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“To examine the sensitivity of our results to sampling variations, we conducted a bootstrapping analysis (Davison and Hinkley 1997, pp. 264–69).”
The Effect of Word of Mouth on Sales: Online Book Reviews
Chevalier, J. A., & Mayzlin, D. (2006) · Journal of Marketing Research · doi:10.1509/jmkr.43.3.345 · Cited by 6,003
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Experimental Study of Inequality and Unpredictability in an Artificial Cultural Market
Salganik, M. J., Dodds, P. S., & Watts, D. J. (2006) · Science · doi:10.1126/science.1121066 · Cited by 2,231 · cited 1×
“…recent field studies have collected data to directly measure the effect of WOM or OL, but not both (e.g., Chevalier and Mayzlin 2006; Dholakia and Soltysinkski 2001; Godes and Mayzlin 2004a, b; Hanson and Putler 1996; Liu 2006; Salganik, Dodds, and Watts 2006; Tucker and Zhang 2009; Zhang 2010).”
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Metadata
- Authors
- Chen, Y., Wang, Q., & Xie, J.
- Venue
- Journal of Marketing Research
- Publisher
- SAGE Publications
- Published
- 2011-04
- Volume
- 48
- Issue
- 2
- Pages
- 238-254
- ISSN
- 0022-2437 (ISSN-L)
- 1547-7193
- OpenAlex
- W3124923688
- Cited by
- 715
- References
- 5
- FWCI
- 137.16
- Type
- journal article
- Language
- en
- Open access
- green
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
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