Bivalent opinion dynamics in new product diffusion

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

Most of new product diffusion models assume (1) WOM has a positive impact on new product adoption; (2) WOM is spread only by the adopters having usage experiences in the product. We relax these assumptions by incorporating a negative WOM into the model following [1] and, moreover, by allowing consumers to spread WOM even without usage experiences. These extensions are more plausible to deal with more novel products that could be very attractive but is highly uncertain in terms of post-purchase satisfaction. In addition, our model also incorporates more complex network structures into links between consumers. This setting might enrich our understanding of WOM propagation among consumers by examining the role of hub consumers, who are linked with a large number of peers, which is one of the controversial issues in practices of WOM marketing [2] From a managerial viewpoint, we finally discuss in what conditions, which consumers should be selected as a target segment.

Original languageEnglish
Title of host publicationSICE 2011 - SICE Annual Conference 2011, Final Program and Abstracts
PublisherSociety of Instrument and Control Engineers (SICE)
Pages1208-1209
Number of pages2
ISBN (Print)9784907764395
Publication statusPublished - 1 Jan 2011
Event50th Annual Conference on Society of Instrument and Control Engineers, SICE 2011 - Tokyo, Japan
Duration: 13 Sep 201118 Sep 2011

Publication series

NameProceedings of the SICE Annual Conference

Conference

Conference50th Annual Conference on Society of Instrument and Control Engineers, SICE 2011
CountryJapan
CityTokyo
Period13/09/1118/09/11

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Keywords

  • Agent-based modeling
  • New product diffusion
  • Opinion dynamics
  • Word-of-mouth

Cite this

Mizuno, M. (2011). Bivalent opinion dynamics in new product diffusion. In SICE 2011 - SICE Annual Conference 2011, Final Program and Abstracts (pp. 1208-1209). [6060517] (Proceedings of the SICE Annual Conference). Society of Instrument and Control Engineers (SICE).