Title
Spotting Lemons in Platform Markets: A Conjoint Experiment on Signaling
Abstract
This study addresses the understudied question of how content integrity for digital goods is signaled ex-ante in the absence of centralized oversight in self-organizing platforms. We build on signaling theory to theorize three classes of signals to explain how and why they influence platform user behavior. Experimental data from 380 users show that in the absence of centralized oversight in platforms a portfolio of signaling mechanisms is used to assess content integrity. Platform users differentially weigh platform, content, and contributor signals but simultaneously triangulate them to form holistic inferences about risk vis-à-vis benefit to spot potential “lemons” in a platform market. Implications for practice, especially for platform design, are also discussed.
Year
DOI
Venue
2014
10.1109/TEM.2014.2311074
Engineering Management, IEEE Transactions  
Keywords
Field
DocType
investment,marketing data processing,conjoint experiment,content integrity assessment,contributor signals,differentially weigh platform,digital goods,platform markets,platform user behavior,portfolio,self-organizing platforms,signaling theory,spot potential lemons,digital platform design,digital platforms,signal classes,signals
Data science,Signalling,Systems engineering,Experimental data,Portfolio,Engineering,Digital goods,Spotting,Marketing
Journal
Volume
Issue
ISSN
61
3
0018-9391
Citations 
PageRank 
References 
3
0.54
11
Authors
2
Name
Order
Citations
PageRank
Amrit Tiwana1156482.28
Ashley A. Bush230817.71