Gamification has been shown to encourage contributions of user-generated reviews (word-of-mouth: WOM) in various domains, including travel and leisure related platforms (Foursquare, TripAdvisor), e-commerce (Amazon), and auctions (eBay). WOM contributors write reviews about products/services provided by business venues and WOM consumers read reviews and use them to form attitudes and make purchase decisions. Gamification elements such as points and badges, awarded to WOM contributors for various reasons, and displayed to WOM consumers, have a dual role in WOM context. First, points awarded for user contributions help motivate WOM contributors to increase their participation. Second, badges awarded to users for visiting business venues signal prior experience or competence, and they help determine how WOM consumers perceive WOM contributors and form their judgments based on the reviews. While the first role of gamification (i.e., motivating users) has been widely studied, the impact of WOM presented along with gamification elements on the perceptions and behavior of the target audience, WOM consumers, has not been examined. This is important to businesses that are looking to attract customers. Drawing on social psychology literature, we show that gamification symbols signaling experience that accompany WOM leads to perceptions of positive WOM contributors as more competent. This leads to important changes in behavioral outcomes such as willingness to visit/buy and willingness to recommend the reviewed outlets.

We document the importance of political promotion incentives for supervisors in banking supervision. Utilizing the merger of the China Banking Regulatory Commission (CBRC) and the China Insurance Regulatory Commission (CIRC) in 2018, we explore the actions of head of the CBRC's regional offices. We find that the increased political promotion incentives are associated with higher frequency, greater amount, and greater severity of penalties in regional banking supervision. The enhanced supervision is more remarkable when the head of the CBRC's regional offices has a higher political rank. After the merger of the two commissions, the regional banking supervision is significantly weakened with the disappearance of political promotion incentives. Furthermore, these enhanced regional supervision triggered by the merger event reduce bank risk. Our findings show that the increased political promotion incentives affect the supervisor's activities and improve the supervision effectiveness.

As artificial intelligence (AI)-powered digital streamers gain popularity in live commerce, online retailers face critical questions about the actual business value of their operations. This study offers timely, evidence-based insights into the economic impact and optimal design of digital streamers. Although current designs do not significantly improve sales over no live streaming, incorporating behavioral realism—especially enhanced real-time question and answer (Q&A)—can boost sales by 25%, making digital streamers as effective as human hosts. Visual upgrades and human-like voices also help but to a lesser degree. Importantly, not all AI-driven enhancements deliver immediate returns, and imitating human scripts does not guarantee success. Retailers should focus on dynamic human-AI interaction features that drive engagement and trust, such as real-time Q&A and interactive giveaways. Designers are encouraged to integrate multiple realism features to maximize effectiveness while managing cost and scalability. These findings offer actionable guidance for retailers and platform designers seeking to leverage AI effectively and cost efficiently in live streaming commerce.

Corporate managers overextrapolate past earnings in their earnings guidance, and this behavior is robust after including extensive controls, such as expectation management, earnings management, and overconfidence. The degree of overextrapolation is driven by the persistence of the underlying earnings process and other factors that affect representativeness heuristics, including trend, salience, and volatility. Experience and value diversity among corporate managers help mitigate this bias, whereas demographic diversity does not. Using the Tax Cuts and Jobs Act of 2017, we provide causal evidence that managers overextrapolate past earnings. This paper was accepted by Camelia Kuhnen, finance. Supplemental Material: The internet appendix and data files are available at https://doi.org/10.1287/mnsc.2023.00901 .

Generative AI (GenAI) promises to revolutionize creative work, but its value is not universal. Using controlled lab settings with students and real-world tests with professional designers, our research shows that GenAI is a double-edged tool. In the initial brainstorming (ideation) stage, GenAI reliably boosts creativity for all users. However, in the execution (implementation) stage, whereas novice designers continue to benefit from GenAI’s assistance, expert designers encounter inefficiencies—spending significantly more time without improving creativity, because GenAI’s methods conflict with experts’ well-established routines. For firms, this means adoption strategies must be nuanced. GenAI delivers the greatest value when applied to brainstorming, early concept development, and work by less-experienced employees. In contrast, deploying GenAI in later-stage production tasks, especially with seasoned professionals, may reduce efficiency. Managers and tool designers should avoid blanket promotion of GenAI across all tasks and instead develop targeted adoption strategies that align with employees’ expertise and the stage of the creative process. By tailoring GenAI use, organizations can harness its creative potential while minimizing risks of counterproductive outcomes.