Knowledge that Transforms

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Social Media, Knowledge Sharing, and Innovation: Toward a Theory of Communication Visibility

Information Systems Research 2014 25(4), 796-816
This paper offers a theory of communication visibility based on a field study of the implementation of a new enterprise social networking site in a large financial services organization. The emerging theory suggests that once invisible communication occurring between others in the organization becomes visible for third parties, those third parties could improve their metaknowledge (i.e., knowledge of who knows what and who knows whom). Communication visibility, in this case made possible by the enterprise social networking site, leads to enhanced awareness of who knows what and whom through two interrelated mechanisms: message transparency and network translucence. Seeing the contents of other’s messages helps third-party observers make inferences about coworkers' knowledge. Tangentially, seeing the structure of coworkers' communication networks helps third-party observers make inferences about those with whom coworkers regularly communicate. The emerging theory further suggests that enhanced metaknowledge can lead to more innovative products and services and less knowledge duplication if employees learn to work in new ways. By learning vicariously rather than through experience, workers can more effectively recombine existing ideas into new ideas and avoid duplicating work. Moreover, they can begin to proactively aggregate information perceived daily rather than engaging in reactive search after confronting a problem. I discuss the important implications of this emerging theory of communication visibility for work in the knowledge economy.

Efficacy of R&D Work in Offshore Captive Centers: An Empirical Study of Task Characteristics, Coordination Mechanisms, and Performance

Information Systems Research 2014 25(4), 846-864
Seizing the latest technological advances in distributed work, an increasing number of firms have set up offshore captive centers (CCs) in emerging economies to carry out sophisticated R&D work. We analyze survey data from 132 R&D CCs established by foreign multinational companies in India to understand how firms execute distributed innovative work. Specifically, we examine the performance outcomes of projects using different technology-enabled coordination strategies to manage their interdependencies across multiple locations. We find that modularization of work across locations is largely ineffective when the underlying tasks are less routinized, less analyzable, and less familiar to the CC. Coordination based on information sharing across locations is effective when the CC performs tasks that are less familiar to it. A key contribution of our work is the explication of the task contingencies under which coordination based on modularization versus information sharing yield differential performance outcomes.

“Popularity Effect” in User-Generated Content: Evidence from Online Product Reviews

Information Systems Research 2014 25(2), 222-238
Online product reviews are increasingly important for consumer decisions, yet we still know little about how reviews are generated in the first place. In an effort to gather more reviews, many websites encourage user interactions such as allowing one user to subscribe to another. Do these interactions actually facilitate the generation of product reviews? More importantly, what kind of reviews do such interactions induce? We study these questions using data from one of the largest product review websites where users can subscribe to one another. By applying both panel data and a flexible matching method, we find that as users become more popular, they produce more reviews and more objective reviews; however, their numeric ratings also systematically change and become more negative and more varied. Such trade-off has not been previously documented and has important implications for both product review and other user-generated content websites.

Research Note—Influence Techniques in Phishing Attacks: An Examination of Vulnerability and Resistance

Information Systems Research 2014 25(2), 385-400
Phishing is a major threat to individuals and organizations. Along with billions of dollars lost annually, phishing attacks have led to significant data breaches, loss of corporate secrets, and espionage. Despite the significant threat, potential phishing targets have little theoretical or practical guidance on which phishing tactics are most dangerous and require heightened caution. The current study extends persuasion and motivation theory to postulate why certain influence techniques are especially dangerous when used in phishing attacks. We evaluated our hypotheses using a large field experiment that involved sending phishing messages to more than 2,600 participants. Results indicated a disparity in levels of danger presented by different influence techniques used in phishing attacks. Specifically, participants were less vulnerable to phishing influence techniques that relied on fictitious prior shared experience and were more vulnerable to techniques offering a high level of self-determination. By extending persuasion and motivation theory to explain the relative efficacy of phishers' influence techniques, this work clarifies significant vulnerabilities and lays the foundation for individuals and organizations to combat phishing through awareness and training efforts.

Product Fit Uncertainty in Online Markets: Nature, Effects, and Antecedents

Information Systems Research 2014 25(2), 328-344
Product fit uncertainty (defined as the degree to which a consumer cannot assess whether a product's attributes match her preference) is proposed to be a major impediment to online markets with costly product returns and lack of consumer satisfaction. We conceptualize the nature of product fit uncertainty as an information problem and theorize its distinct effect on product returns and consumer satisfaction (versus product quality uncertainty), particularly for experience (versus search) goods without product familiarity. To reduce product fit uncertainty, we propose two Internet-enabled systems—website media (visualization systems) and online product forums (collaborative shopping systems)—that are hypothesized to attenuate the effect of product type (experience versus search goods) on product fit uncertainty. Hypotheses that link experience goods to product returns through the mediating role of product fit uncertainty are tested with analyses of a unique data set composed of secondary data matched with primary direct data from numerous consumers who had recently participated in buy-it-now auctions. The results show the distinction between product fit uncertainty and quality uncertainty as two distinct dimensions of product uncertainty and interestingly show that, relative to product quality uncertainty, product fit uncertainty has a significantly stronger effect on product returns. Notably, whereas product quality uncertainty is mainly driven by the experience attributes of a product, product fit uncertainty is mainly driven by both experience attributes and lack of product familiarity. The results also suggest that Internet-enabled systems are differentially used to reduce product (fit and quality) uncertainty. Notably, the use of online product forums is shown to moderate the effect of experience goods on product fit uncertainty, and website media are shown to attenuate the effect of experience goods on product quality uncertainty. The results are robust to econometric specifications and estimation methods. The paper concludes by stressing the importance of reducing the increasingly prevalent information problem of product fit uncertainty in online markets with the aid of Internet-enabled systems.

Feeling Blue? Go Online: An Empirical Study of Social Support Among Patients

Information Systems Research 2014 25(4), 690-709
In this paper, we investigate whether social support exchanged in an online healthcare community benefits patients’ mental health. We propose a nonhomogeneous Partially Observed Markov Decision Process (POMDP) model to examine the latent health outcomes for online health community members. The transition between different health states is modeled as a probability function that incorporates different forms of social support that patients exchange via discussion board posts. We find that patients benefit from learning from others and that their participation in the online community helps them to improve their health and to better engage in their disease self-management process. Our results also reveal differences in the influence of various forms of social support exchanged on the evolution of patients’ health conditions. We find evidence that informational support is the most prevalent type in the online healthcare community. Nevertheless, emotional support plays the most significant role in helping patients move to a healthier state. Overall, the influence of social support is found to vary depending on patients’ health conditions. Finally, we demonstrate that our proposed POMDP model can provide accurate predictions for patients’ health states and can be used to recover missing or unavailable information on patients’ health conditions.

Online Gambling Behavior: The Impacts of Cumulative Outcomes, Recent Outcomes, and Prior Use

Information Systems Research 2014 25(3), 511-527
The objective of this work is to examine various psychological forces underlying the behavior of people’s online gambling, an increasingly popular form of entertainment in the gaming industry. Drawing on extant theories, we first developed a model of how cumulative outcomes, recent outcomes, and prior use affect online gambling behavior differently. We empirically tested the model using longitudinal panel data collected over eight months from 22,304 actual users of a gambling website. The results of a multilevel panel data analysis strongly supported our hypotheses. First, consistent with gambling theory, individuals' online gambling was found to increase with any increase in a cumulative net gain or cumulative net loss. Second, as the availability heuristic prescribes, a recent loss reduced online gambling, whereas a recent gain increased it. Third, consistent with the literature on repeated behavior, regular use and extended use moderated the relationship between current and subsequent gambling. Taken together, the present study clarifies how people react differently to immediate and cumulative outcomes and also how regular use and extended use facilitate routine behavior in the context of online gambling. In general, our findings suggest that the three perspectives, i.e., gambling theory, the availability heuristic, and repeated behavior, should be taken into account to understand online gambling, which is in essence a series of risk-taking attempts with the potential of eventually becoming routine behavior. This study is expected to offer valuable insights into other types of online games that could engage people in risking real or cyber money and, at the same time, could be easily enmeshed with everyday life (e.g., fantasy sports, online virtual worlds).