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What is the cost of venting? Evidence from eBay

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  • Li, Lingfang (Ivy)
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    Abstract

    This paper uses data collected from eBay's website to identify why buyers fail to leave (negative) feedback in online markets. Empirical results confirm that the fear of retaliation may be an important motivation for buyers not to leave (negative) feedback, while the time and effort costs of reporting may not be as important.

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    File URL: http://www.sciencedirect.com/science/article/B6V84-5051PC9-1/2/72c30f2caa4c339525a8bfba1888c826
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    Bibliographic Info

    Article provided by Elsevier in its journal Economics Letters.

    Volume (Year): 108 (2010)
    Issue (Month): 2 (August)
    Pages: 215-218

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    Handle: RePEc:eee:ecolet:v:108:y:2010:i:2:p:215-218

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    Web page: http://www.elsevier.com/locate/ecolet

    Related research

    Keywords: Reputation Feedback Asymmetric information;

    References

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    1. Ernst Fehr & Simon Gaechter, . "Cooperation and Punishment in Public Goods Experiments," IEW - Working Papers 010, Institute for Empirical Research in Economics - University of Zurich.
    2. Li, Lingfang (Ivy) & Xiao, Erte, 2010. "Money Talks? An Experimental Study of Rebate in Reputation System Design," MPRA Paper 22401, University Library of Munich, Germany.
    3. Nikiforakis, Nikos, 2008. "Punishment and counter-punishment in public good games: Can we really govern ourselves," Journal of Public Economics, Elsevier, vol. 92(1-2), pages 91-112, February.
    4. Chrysanthos Dellarocas & Charles A. Wood, 2008. "The Sound of Silence in Online Feedback: Estimating Trading Risks in the Presence of Reporting Bias," Management Science, INFORMS, vol. 54(3), pages 460-476, March.
    5. Lingfang (Ivy) Li, 2010. "Reputation, Trust, and Rebates: How Online Auction Markets Can Improve Their Feedback Mechanisms," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 19(2), pages 303-331, 06.
    6. Klein, Tobias J. & Lambertz, Christian & Spagnolo, Giancarlo & Stahl, Konrad O., 2006. "Last Minute Feedback," Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems 62, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
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