effect of online consumer reviews on product sales --> cui, 2012

Question 1

search good

Answer 1

value can be determined in advance of consumption
attributes, function, performance

e.g. computors

Question 2

experience good

Answer 2

value can only be determined on consumptions

feeling , difficult to describe, experienced differentl

e.g. restauarant meal

Question 3

credence goods

Answer 3

goods that are hard to assess even on consumption

e.g. vitamin supplements

Question 4

eWOM

Answer 4

online reviews, recommendations, discussions about
products, services
spread through digital platforms like forums

Question 5

B2B

Answer 5

performance focuses
formal

e.g. testimonials from one film production company recommending camera rental service

Question 6

B2C

Answer 6

personal experiences, emotional connection, ease of us
informal

e.g. graphic design software company discusses directly with users

Question 7

C2C

Answer 7

focus on trust between individuals and peer recommendations

e.g. independent artist selling handmade items on etsy and relies on reviews from previous buyers

Question 8

B2B2C

Answer 8

feedback reflects both the intermediary and the product/service provider

involved business partnerships impacting consumer experience

e.g. clothing brand partners with ASOS, customer reviews reflect both brand and asos services
reviews might affect both

Question 9

negativity bias

Answer 9

give greater diagnostic weight to negative information when making evaluations because social environment contains a greater number of positive than negative cues

Question 10

negative online reviews more powerful because

Answer 10

attract more attention - negativity bias
are perceived as counter normative
are perceived as more diagnostic quality - more trustworthy

Question 11

volume of reviews

Answer 11

awareness

Question 12

valence of reviews

Answer 12

quality evaluation

Question 13

search goods and valence

Answer 13

reflects overall (dis)satisfaction of previous buyers

Question 14

experience goods and volume

Answer 14

provides information/reduces uncertainty about the product

significant effect on new peoduct sales in the early period bu with diminishing marginal effects

Question 15

why does online eWOM shrink product life cycle

Answer 15

because it accelerates the diffusion/adoption of new product

strengthens information cascades
sharpens new product take off
exaggerates product growth