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The long tail phenomenon has been attributed to both supply side and demand side economies. While the cause on the supply side is well-known, research on the demand side has largely focused on the awareness effect of online information that helps consumers discover new and often niche products....
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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...
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Consumers consistently resort to online Word-of-Mouth (WOM) as an effective remedy for the lack of physical trials in online shopping. Nevertheless, they are confronting relatively different levels of search costs for WOM information depending on the distribution of WOM across websites. This...
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Firms use social media marketing to promote products and collect consumer feedback for the product development process. Their practice of investing in retailer-hosted Word-of-Mouth (internal WOM) is supported by a positive feedback mechanism between internal WOM and retail sales. Internal WOM is...
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