Journal ArticleDOI
The value of reputation on eBay: A controlled experiment
TLDR
The authors conducted the first randomized controlled field experiment of an Internet reputation mechanism and found that the difference in buyers' willingness-to-pay was 8.1% of the selling price between eBay sellers with and without negative feedback.Abstract:
We conducted the first randomized controlled field experiment of an Internet reputation mechanism. A high-reputation, established eBay dealer sold matched pairs of lots—batches of vintage postcards—under his regular identity and under new seller identities (also operated by him). As predicted, the established identity fared better. The difference in buyers’ willingness-to-pay was 8.1% of the selling price. A subsidiary experiment followed the same format, but compared sales by relatively new sellers with and without negative feedback. Surprisingly, one or two negative feedbacks for our new sellers did not affect buyers’ willingness-to-pay.read more
Citations
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Book
Opinion Mining and Sentiment Analysis
Bo Pang,Lillian Lee +1 more
TL;DR: This survey covers techniques and approaches that promise to directly enable opinion-oriented information-seeking systems and focuses on methods that seek to address the new challenges raised by sentiment-aware applications, as compared to those that are already present in more traditional fact-based analysis.
Journal ArticleDOI
A survey of trust and reputation systems for online service provision
TL;DR: Trust and reputation systems represent a significant trend in decision support for Internet mediated service provision as mentioned in this paper, where the basic idea is to let parties rate each other, for example after the completion of a transaction, and use the aggregated ratings about a given party to derive a trust or reputation score.
Journal ArticleDOI
The online laboratory: conducting experiments in a real labor market
TL;DR: In this paper, the authors use an online labor market to replicate three classic experiments and find quantitative agreement between levels of cooperation in a prisoner's dilemma played online and in the physical laboratory.
Journal ArticleDOI
ReviewFeature ReviewHuman cooperation
David G. Rand,Martin A. Nowak +1 more
TL;DR: It is shown that automatic, intuitive responses favor cooperative strategies that reciprocate: it is argued that this behavior reflects the overgeneralization of cooperative strategies learned in the context of direct and indirect reciprocity.
Journal ArticleDOI
The Nature and Role of Feedback Text Comments in Online Marketplaces: Implications for Trust Building, Price Premiums, and Seller Differentiation
Paul A. Pavlou,Angelika Dimoka +1 more
TL;DR: Evidence of extraordinary past seller behavior contained in the sellers' feedback text comments creates price premiums for reputable sellers by engendering buyer's trust in the seller's benevolence and credibility (controlling for the impact of numerical ratings).
References
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Journal ArticleDOI
The Market for “Lemons”: Quality Uncertainty and the Market Mechanism
TL;DR: In this paper, the authors present a struggling attempt to give structure to the statement: "Business in under-developed countries is difficult"; in particular, a structure is given for determining the economic costs of dishonesty.
Journal ArticleDOI
Premiums for High Quality Products as Returns to Reputations
TL;DR: In this article, an equilibrium price-quality schedule for markets in which buyers cannot observe product quality prior to purchase is derived, and the effects of improved consumer information and of a minimum quality standard on the equilibrium price quality schedule are studied.
Book ChapterDOI
Trust among strangers in internet transactions: Empirical analysis of eBay' s reputation system
TL;DR: Examination of a large data set from 1999 reveals several interesting features, including a high correlation between buyer and seller feedback, suggesting that the players reciprocate and retaliate.
Journal ArticleDOI
Evidence of the effect of trust building technology in electronic markets: price premiums and buyer behavior
Sulin Ba,Paul A. Pavlou +1 more
TL;DR: The authors examined the extent to which trust can be induced by proper feedback mechanisms in electronic markets, and how some risk factors play a role in trust formation, drawing from economic, sociological, and marketing theories and using data from both an online experiment and an online auction market.
Journal ArticleDOI
Reputation Acquisition in Debt Markets
TL;DR: In this paper, reputation formation and the evolution over time of the incentive effects of reputation to mitigate conflicts of interest between borrowers and lenders are studied. But reputation will not initially provide improved incentives to borrowers with short credit histories.