In some markets consumers seek exclusive consumption experiences, yet in these markets businesses sometimes market their goods widely and at low prices during an introduction period. We use a two-period game-theoretic model to provide a signaling explanation for this phenomenon. In our model,...

This research analyzes a firm's investment in advertising that signals quality when consumers learn about quality not only from such advertising but also from interactions with other consumers in the form of observational learning or word of mouth. Further, word of mouth interactions may involve...

Firms invest significantly in advertising with the intent of influencing consumers favorably towards their goods. Along with advertising, word of mouth also plays an important role in shaping consumer opinion about a firm's goods. In many contexts, word of mouth is affected by behaviors such as...

This paper extends prior research on consumer knowledge beliefs and word-of-mouth transmission. Findings from four studies suggest that people compensate for unfavorable discrepancies between their actual and ideal consumer knowledge with heightened efforts to signal knowledgeability through the...

Sharing economy has become a prominent business model that has been discussed in many previous studies, yet its consumer complaint behavior has not been sufficiently explored. Consumers' tolerance and overly positive review toward Partners have dominated studies in post-failure evaluation and...