• Asia Marketing Journal
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• v.11 no.1
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• pp.73-92
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• 2009

Consumers influence other consumers' brand choice behavior by delivering a variety of objective or subjective information on a particular product, which is called WOM (Word-Of-Mouth) activities. For WOM activities, WOM senders should choose messages to deliver to other consumers. We classify the contents of the messages a consumer chooses for WOM delivery into two categories: Subjective (positive or negative) evaluation and objective information on products. In our study, we regard WOM senders' activities as a choice behavior and introduce a choice model to study the relationship between the choice of different WOM information (WOM with positive or negative subjective evaluation and WOM with objective information) and its influencing factors (information sources and consumer characteristics) by developing two bivariate Probit models. In order to consider the mediating effects of WOM senders' product involvement, product attitude, and their characteristics (gender and age), we develop three second-level models for the propagation of positive evaluations, of negative evaluations, and of objective information on products in an hierarchical Bayesian modeling framework. Our empirical results show that WOM senders' information choice behavior differs according to the types of information sources. The effects of information sources on WOM activities differ according to the types of WOM messages (subjective evaluation (positive or negative) and objective information). Therefore, our study concludes that WOM activities can be partially managed with effective communication plans influencing on consumers' WOM message choice behavior. The empirical results provide some guidelines for consumers' propagation of information on products companies want.

• Asia pacific journal of information systems
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• v.23 no.3
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• pp.131-154
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• 2013

New internet technologies have created a revolutionary new platform which allows consumers to make decision about product price and quality quickly and provides information about themselves through the transcript of online reviews. By expressing their feelings toward products or services on virtual opinion platforms, users extend their influence into cyberspace as electronic word-of-mouth (e-WOM). Existing research indicates that an impact of eWOM on the consumer decision process is influential. For both academic researchers and practitioners, investigating this phenomenon of information sharing in online website is essential given the increasing number of consumers using them as sources of purchase decisions. It is worthwhile to examine the extent to which opinion seekers are willing to accept and adopt online reviews and which factors encourage adoption. Discerning the most motivating aspects of information adoption in particular, could help electronic marketers better promote their brand and presence on the internet. The objectives of this study are to investigate how online WOM influences a persons' purchase decision by discovering which factors encourage information adoption. Especially focused on the self-efficacy, this research investigates how self-efficacy affects on information usefulness and adoption of online information. Although people are exposed to same review or comment about product or service, some accept the reviews while others do not. We notice that accepting online reviews mainly depends on the person's preference or personal characteristics. This study empirically examines this issue by using cognitive dissonance theory. Specifically, in the movie industry, we address few questions-is always positive WOM generating positive effect? What if the movie isn't the person's favorite genre? What if the person who is very self-assertive so doesn't take other's opinion easily? In these cases of cognitive dissonance, is always WOM generating same result? While many studies have focused on one direct of WOM which indicates positive (or negative) informative reviews or comments generate positive (or negative) results and more (or less) profits, this study investigates not only directional properties of WOM but also how people change their opinion towards product or service positive to negative, negative to positive through the online WOM. An experiment was conducted quantitatively by using a sample of 168 users who have experience within the online movie review site, 'Naver Movie'. Users were required to complete a survey regarding reviews and comments taken from the real movie page. The data reflected user's perceptions of online WOM information that determined users' adoption level. Analysis results provide empirical support for the proposed theoretical perspective. When user can't agree with the opinion of online WOM information, in other words, when cognitive dissonance between online WOM information and users' preference occurs, perceived self-efficacy significantly decreases customers' perception of usefulness. And this perception of usefulness plays an important role in determining users' intention to adopt online WOM information. Most of researches have been concentrated on characteristics of online WOM itself such as quality or vividness of information, credibility of source and direction of online WOM, etc. for describing effect of online WOM, but our results suggest that users' personal character (e.g., self-efficacy) plays decisive role for acceptance of online WOM information. Higher self-efficacy means lower possibility to accept the information that represents counter opinion because of cognitive dissonance, whereas the people that have lower self-efficacy are willing to accept the online WOM information as true and refer to purchase decision. This study suggests a model for understanding role of direction of online WOM information. Also, our result implicates the importance of online review supervision and personalized information service by confirming switching opinion negative to positive is more difficult than positive to negative through the online WOM information. This implication would help marketers to manage online reviews of their products or services.

• Journal of Distribution Science
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• v.15 no.9
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• pp.85-93
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• 2017

Purpose - The volume and valence of online word-of-mouth(eWOM) have become an important part of the retailer's market success for a wide range of products. This study aims to investigate how the growth of eWOM has generated the product's final financial outcomes in the introductory period influences. Research design, data, and methodology - This study uses weekly box office performance for 117 movies released in the South Korea from July 2015 to June 2016 using Korean Film Council(KOFIC) database. 292,371 posted online review messages were collected from NAVER movie review bulletin board. Using regression analysis, we test whether eWOM incurred during the opening week is valuable to explain the last of box office performance. Three major eWOM metrics were considered after controlling for the major distributional factors. Results - Results support that major eWOM variables play a significant role in box-office outcome prediction. Especially, the growth rate of the positive eWOM volume has a significant effect on the growth potential in sales. Conclusions - The findings highlight that the speed of eWOM growth has an informational value to understand the market reaction to a new product beyond valence and volume. Movie distributors need to take positive online eWOM growth into account to make optimal screen allocation decisions after release.

• Fashion & Textile Research Journal
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• v.14 no.3
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• pp.381-389
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• 2012

This study presents a marketing communication strategy from the aspect of new consumption orientation. Consumer preference on ads media, on-line ads media, and WOM usage were examined for new consumption orientation groups. This study was executed in a question survey format. A total of 182 questionnaires were obtained and data were analyzed by PASW 18.0 and AMOS 7. The results were as follows. First, 8 types of consumption orientation factors were revealed; 'impulsive purchase', 'promotion oriented', 'social contribution', 'passive conformity', 'innovative', 'conspicuous', 'rational', and 'environmental conservation'. Then 4 groups were formed, 'Rational & Positive', 'Conspicuous Conforming', 'Positive Social Interested' and 'Low Price Oriented'. Second, communication responses were analyzed through consumption orientation groups. The 'Rational & Positive' group responded positively to every type of advertising media (especially new media). The 'Conspicuous Conforming' and 'Positive Social Interested' groups preferred traditional media such as TV, radio, and magazines; in addition, the 'Low Price Oriented' group liked only online banner ads. For WOM preference, the 'Rational & Positive' and 'Positive Social Interested' group preferred verbal consumer information like WOM. In distribution types, the just 'Positive Social Interested' group revealed a significant result for internet shopping malls. The results from this study will help establish marketing communication strategies based on the features of consumption orientation.

• Journal of Distribution Science
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• v.18 no.3
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• pp.77-85
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• 2020

Purpose: This study examined marketing value as online word-of-mouth media in the foodservice industry, and it did research on online word-of-mouth (e-WOM) communication marketing schemes using mass communication in the industry. The study is also intended to investigate the impact of electronic word-of-mouth (e-WOM) information and communication on product awareness risks, benefits, and word-of-mouth (WOM) impacts on restaurant consumers. Research design, data, and methodology: The analysis was conducted on a valid questionnaire of 425 menu product consumers. The survey was conducted for two months in March 2019. The collected data was analyzed using SPSS and hierarchical regression analysis was applied. Results: It did empirical research on the reciprocal casual relations to online and the existing word-of-mouth communication that have to be preceded to understand characteristics of online word-of-mouth communication for the purpose of this study. The result is summarized as follows. First, the online word-of-mouth (e-WOM) effect on product recognition risk shows the statistically significant effect of information sender characteristics, information recipient characteristics, and online word-of-mouth (e-WOM) communication on product recognition risk. Second, the influence of online word-of-mouth (e-WOM) on product risk benefits shows that the information sender characteristics, the information receiver characteristics, and online communications have a statistically significant effect on product risk benefits. Third, online word of mouth risk recognition had a statistically significant effect on word of mouth acceptance. Fourth, online risk benefit had a statistically significant positive effect on word of mouth (WOM) effect. Conclusions: The communication between online word of mouth (e-WOM) sender and recipient had a positive influence on the product evaluation and attitude change in the foodservice industry, and the word-of-mouth (WOM) effect affected financial and non-financial performance. The results mentioned above indicated that the communication between the sender of the information and the receiver of the information had a positive effect on the product evaluation and attitude change of the menu consumer, and the word-of-mouth (WOM) result affected the financial. Therefore, the online word-of-mouth (e-WOM) effect has a positive effect on the word-of-mouth (WOM) effect of menu products when performed simultaneously and positively between the information sender and the information receiver.

• The Journal of the Korea Contents Association
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• v.15 no.8
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• pp.53-68
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• 2015

This study analyzed online word-of-mouth information using content analysis to help practical categorization of two-sided eWOM. A total of 402 online consumer reviews on search goods and experience goods were collected. Descriptive characteristics(information direction, length of review line) and content structural characteristics(product benefit types, information presentation methods) were used as analysis criteria. The study results are as follows. First, the types of two-sided e-WOM direction were made of positive/negative, negative/positive, positive/negative/ positive, and negative/positive/negative. Second, the length of two-sided eWOM was longer than the length of one-sided eWOM and blended type accounted for the highest proportion both one-sided and two-sided eWOM at the aspect of product benefit. Third, holistic presentation method was overwhelmingly high in one-sided eWOM, whereas blended and analytic presentation methods were somewhat high in two-sided eWOM. Fourth, holistic presentation method was high in search goods, whereas blended and analytic presentation methods were high in experience goods. Based on these results, implications for two-sided e-WOM study and further research issues were discussed.

• Journal of Digital Convergence
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• v.16 no.11
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• pp.281-288
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• 2018

The current study examined the moderating effect of visual cues in eWOM on the relationship between perceived risk and purchase intention. Specifically, the study tested the different directions of the moderating effect in positive and negative eWOM. Two studies from a 2 (perceived risk: high vs. low) by 2 (visual cue: presence vs. absence) experimental design were used with online subjects. Findings from study 1 (n=123) supported that visual cues in positive eWOM help to reduce the negative effect of perceived risk on purchase intention. However, study 2 (n=122) showed that visual cues in negative eWOM intensify the negative effect of perceived risk on purchase intention. The findings demonstrated that visual cues in eWOM influence consumers' decision under high risk conditions. We discussed findings of this study how visual cues in positive and negative eWOM can be strategically managed for new online sellers.

• Journal of Information Technology Services
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• v.14 no.2
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• pp.177-193
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• 2015

A great number of customers, who want to watch movies usually check out online reviews before choosing what to watch a movie. The most representative online media that customers consult are portal sites and SNS (Social Network Service). Although there have been numerous studies on online eWOM (e-Word of Mouth) and the effects of online media in businesses, it remains a question that which media is best for WOM (Word of Mouth) when selecting movies. This research examines customer's intention for consulting eWOM and for watching movies according to the number and tendency of online replies. We have compared portal sites and SNS about information of movie. The study shows that a large number of positive replies can affect the intention for WOM and choosing movies. Facebook has more influence than portal sites when choosing what to watch when replies consist of large and positive comments. However, there is no difference between the two types of media when they consist of negative comments.

• The Journal of Economics, Marketing and Management
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• v.11 no.5
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• pp.29-44
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• 2023

Purpose: This study analyzed the effect of the perceived value of the OTT platform on consumers' technology acceptance, continuous use intention, and WOM using the Expanded TAM. Research design, data and methodology: A survey was conducted targeting OTT platform users in their 20s to 40s nationwide from August 10 to 16, 2022, and a total of 208 people were used in the final analysis. To verify the research model, frequency analysis, CFA, and SEM analysis were performed using SPSS and AMOS. Results: First, the perceived value of the OTT platform was found to have a positive effect on consumers' technology acceptance (perceived usefulness, perceived ease of use, and perceived enjoyment). Second, the perceived ease of use of OTT platform consumers was found to have a positive effect on perceived usefulness and perceived enjoyment. Third, it was found that the perceived usefulness and perceived enjoyment of OTT platform consumers had a positive effect on the continuous use intention, and WOM. Fourth, it was found that the continuous use intention the OTT platform had a positive effect on the WOM. Conclusions: Word of mouth and continuous use of existing customers are important for OTT platform companies to retain existing customers and secure new customers. Through the perceived value of the OTT platform, efforts should be made to provide various contents that consumers can enjoy along with usefulness and convenience of functions.

• Journal of Distribution Science
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• v.15 no.3
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• pp.81-89
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• 2017

Purpose - Universities are fostering the development of closer relationships with students due to the increase in competition among universities. Universities are placing greater emphasis on relationship quality as a source of competitive advantage. Thus relationship marketing has become an important strategic theme in higher education. The purpose of this study is to investigate the effects of faculty trustworthiness on relationship building process in the context of relationship marketing. For this study, faculty trustworthiness is divided into competence, benevolence, and integrity. And relationship development variables are composed of satisfaction, commitment, positive WOM, and negative WOM. Research design, data, and methodology - To empirically evaluate the proposed research model, this study was carried out using the survey with undergraduate students who were taking business courses. The 270 questionnaires were asked, and a total of 245 respondents provided complete and usable data. The sample consisted of 143 males(58.4%) and 102 females(41.6%). The variables of proposed model were measured on a 5-point Likert scale. The structural equation modeling analysis was used for the hypothesis test. Results - The overall fit of the model was acceptable(χ²=579.7(df=264, P=0.00), GFI=0.935, NFI=0.949, CFI=0.956, RMR=0.040). The results supported 6 hypotheses except for

and

. First, competence and benevolence were positively related to satisfaction, while integrity was not significant. A key result of the analysis was that benevolence has the strongest effect on satisfaction. Second, satisfaction had a positive impact on commitment and positive WOM but didn't significantly affect negative WOM. Third, commitment significantly enhanced positive WOM and reduced negative WOM. Conclusions - This study emphasizes the role of faculty trustworthiness based on a long-term relationship. And the findings suggest that the dimensions of faculty trustworthiness have differing effects on satisfaction. In particular, benevolence is found to be the most important factor. This study provides university managers with the following managerial implications. In order to increase the satisfaction of the students, university managers should focus on the faculty's competence and benevolence. Also, it is important that university managers take a relationship approach to maximize WOM effect.