Token Incentives in a Volatile Crypto Market: The Effects of Token Price Volatility on User Contribution

2023 | Journal of Management Information Systems | Citations: 0

Authors: Chen, Kun; Fan, Yifan; Liao, Shaoyi Stephen

Abstract: Crypto tokens, issued and managed via smart contracts, function as rewards in bl ... Expand

Abstract: Crypto tokens, issued and managed via smart contracts, function as rewards in blockchain systems to encourage user participation. Distinct from monetary incentives, token incentives are uncertain in reward magnitude due to the large swings in token prices on crypto markets. By focusing on token price volatility, this study investigates how the reward uncertainty affects user contribution in a tokenized digital platform. Our empirical setting is Steemit, a platform where bloggers write posts and share token rewards based on their posts' popularity. We find that while high token price volatility induces a large volume of blog posts, it diminishes post quality. The dichotomous effects are explained via two mechanisms: users' direct reactions to reward uncertainties and their indirect reactions, mediated by altered token preference amid volatility shocks. Deeply exploring this dynamic process, our results reveal that token price volatility facilitates a platform's network short-term effect but impairs long-term user creativity. Our empirical findings thus extend the literature on blockchain economics and cryptocurrencies and have practical implications for the design of incentive mechanisms on tokenized digital platforms. Collapse

Topics: blog blockchain digital platform cryptocurrency user behavior

Methods: longitudinal research instrumental variables estimation data transformation principal component analysis vector autoregression

Theories: motivation crowding theory

Recent Developments in PLS

2023 | Communications of the Association for Information Systems | Citations: 0

Authors: Evermann, Jöerg; Rönkkö, Mikko

Abstract: Partial least squares (PLS) path modeling is a widely used method in the inform ... Expand

Abstract: Partial least squares (PLS) path modeling is a widely used method in the information systems (IS) discipline for estimating linear structural equation models. At the same time, researchers have debated its relative merits compared to simple summed scores or to covariance-based estimation of structural equation models. In this paper, we comment on recent developments in PLS to ensure that IS researchers have up-to-date methodological knowledge and best practices if they decide to use PLS. In particular, we briefly review its mechanisms, its well-known properties, and its usage history in IS research. We briefly revisit a high-impact critique and debate a few years ago to identify the critical arguments around current PLS practices and use. That critique proved to be the driver for many advances in the PLS method and its applications which we discuss extensively and use to make 14 recommendations for how and when to use PLS or alternatives.Simply put, most IS researchers do not study research questions where predictive modeling would be applicable but focus on testing theory that requires explanatory models. If predictive modeling pertains to their study, researchers should clearly explain the predictions' purpose and usefulness and use operative prediction (i.e., mixed formative-reflective) to assess their models' out-of-sample prediction at the individual level as Shmueli et al. (2016) and Evermann and Tate (2016) recommend. R8: If researchers use PLS for prediction, they should adequately justify and reflect this motivation and assess out-of-sample prediction at the individual level. Recent Developments in PLS Volume 52 10.17705/1CAIS.05229 Paper 29 R13: Researchers should compare PLS composites to unweighted composites to demonstrate any possible advantage that the PLS composites might have. Recent Developments in PLS Volume 52 Collapse

Methods: partial least squares regression consistent partial least squares path modeling simulation structural equation modeling partial least squares path modeling

Theories: information systems theory

Derivative Work in Open-license Platforms

2023 | International Conference on Information Systems | Citations: 0

Authors: Joo, Heejin; Maruping, Likoebe

Abstract: The emergence of derivative works in open-license platforms has sparked inquiri ... Expand

Abstract: The emergence of derivative works in open-license platforms has sparked inquiries regarding their impact on original works and the platform as a whole. While it is widely recognized that derivative works may compete with the original content, there are also arguments that they can augment traffic and engagement. This remains an open empirical question. We extend the conceptualization of derivative works to open-license platform environments and then explore the implications of such works. Our empirical analysis of original music videos and corresponding reaction videos on YouTube shows that derivative works are complementary to original works and to the platform ecosystem. The findings shed new light on both the complex impact of derivative videos in open-license environments -as well as its broader strategic significance for platform operators seeking sustainable long-term growth opportunities. Collapse

Topics: digital ecosystem YouTube application programming interface intellectual property business model

Methods: Granger causality longitudinal research theory development field study vector autoregression

Just Diverse Among Themselves: How Does Negative Performance Feedback Affect Boards’ Expertise vs. Ascriptive Diversity?

2023 | Organization Science | Citations: 0

Authors: Jung, HeeJung; Lee, Yonghoon G.; Park, Sun Hyun

Abstract: We investigate how negative performance feedback affects board diversity, which ... Expand

Abstract: We investigate how negative performance feedback affects board diversity, which is instrumental in shaping a firm’s strategic change. When a firm underperforms compared with its aspiration, its board is motivated to promptly address the underperformance. The board needs to not only help search for strategic alternatives but also quickly build consensus around its strategic reorientation. These two motivations lead the board to value two dimensions of diversity among its members differently. On the one hand, to understand the problem of underperformance and find a solution, the board is motivated to seek new expertise, avoiding redundancy in the pool of expertise already represented in the boardroom. This results in a higher level of diversity in director expertise. On the other hand, the urgent need to build consensus prompts the board to value trust and solidarity and to avoid potential conflict among directors. Because people perceive others with similar ascriptive backgrounds as trustworthy, changes in the board of an underperforming firm are likely to yield a lower level of diversity in its members’ ascriptive backgrounds. These changes in board are affected by the committee chairs of the board whose power and influence are significant in the boardroom. Analyses of the boards of 733 U.S. listed manufacturing firms show that when a firm underperforms compared with its aspirations, it increases the board expertise diversity, but decreases the board ascriptive diversity. When chairs on the board are gender or racial minorities, the negative association between underperformance and the board ascriptive diversity is weakened. Supplemental Material: The e-companion is available at https://doi.org/10.1287/orsc.2022.1595. Collapse

Topics: research and development organizational productivity accounting corporate governance database system

Methods: statistical hypothesis test theory development qualitative interview descriptive statistic ordinary least square

How to increase sustainable engagement in the workplace through green IS: the role of instructional and motivational design features

2023 | European Conference On Information Systems | Citations: 0

Authors: Krath, Jeanine; Morschheuser, Benedikt; Korflesch, Harald von; Hamari, Juho

Abstract: ... Expand

Abstract: Collapse

Topics: green IS mobile application systems design user behavior Python

Methods: linear regression analysis field study survival function statistical hypothesis test theory development

M&A Negotiations: Role of Negotiation Process, Ownership and Advisors on Deal Completion

2023 | Group Decision and Negotiation | Citations: 0

Authors: Kumar, Deepak; Sengupta, Keya; Bhattacharya, Mousumi

Abstract: Mergers and acquisition deals are uncertain, with completion likelihood changing ... Expand

Abstract: Mergers and acquisition deals are uncertain, with completion likelihood changing throughout the negotiation process. During negotiations, the firms process new information to modify their choices. This study aims to examine the dynamic nature of the M&A negotiation process. The study uses a sample of 983 worldwide unsolicited deals from 1999 to 2019 and classifies M&A deal outcomes using logistic regression, decision tree, and random forest classifiers. Ownership considerations and advisors are essential elements of the negotiation. Ownership sought has the potential to impact the deal's complexity and exercisable control. Prior ownership may either help gain information or recover due diligence costs. The advisors may assist the firms in the available information's financial and legal due diligence. Prior research lacks the negotiation period’s dynamism and gives mixed results for the impact of ownership and the role of advisors. We uniquely identify a non-linear inverted U-shaped relationship between the negotiation period and completion likelihood. The results prove that prior ownership, over the negotiation period, serves the dual objective of assisting deal completion and acting as a substitute for the termination fee. The acquirer and target advisors help with the completion of the deal. The varying effects for ownership and advisors over the negotiation process help explain the conflicting results in previous studies. The evolving negotiating circumstances play an important role in affecting the outcome. Our work shows the importance of temporal characteristics and the dynamic nature of decision-making during the M&A negotiation process and encourages further studies exploring processual theories. Collapse

Topics: logistics management decision making database system mergers and acquisition missing data

Methods: logistic regression random forest classification decision tree classification statistical hypothesis test machine learning

Theories: lemon market theory

From Seeker to Provider: User Ability and Role Switching in Online Support Communities

2023 | Americas Conference on Information Systems | Citations: 0

Authors: Lee, Michael; Liao, Ruochen; Wang, Xunyi; Kishore, Rajiv

Abstract: Online health communities offer a platform for patients to seek support from ot ... Expand

Abstract: Online health communities offer a platform for patients to seek support from other users with similar conditions. As those support seekers' situation improves, they may ultimately want to give back to the community and provide support to others. This study explores how seekers' ability to provide support, operationalized using their cognitive state and social network structure, can influence the seekers' propensity to switch roles and become support providers. We leverage the Dual Perspective Model of Agency and Communion and Social Networks literature to theorize a seeker's ability to provide support. We apply survival analysis to study seekers' first role switch to a provider and the duration from seekers' initial post to role switch. We find that while seekers who have higher positive agency and closeness centrality are more likely to switch roles to a provider, those having higher positive communality, degree centrality, and eigenvector centrality are less likely to switch. Collapse

Topics: social network Python

Methods: survival analysis proportional hazards model theory development robustness check word2vec

Where is IT in Information Security? The Interrelationship among IT Investment, Security Awareness, and Data Breaches

2023 | Management Information Systems Quarterly | Citations: 1

Authors: Li, Wilson Weixun; Leung, Alvin; Yue, Wei

Abstract: Data breaches can severely damage a firm's reputation and its customers' confid ... Expand

Abstract: Data breaches can severely damage a firm's reputation and its customers' confidence. Firms must therefore continuously invest in security measures to prevent such breaches. However, the effectiveness of security investment has been questioned by both practitioners and academics. We illustrate the bidirectional dynamic relationship between information technology (IT) investment and data breaches moderated by threat and countermeasure security awareness using an eight-year panel of 311 U.S.-listed firms to provide empirical evidence that threat awareness broadens firms' scope for addressing databreach issues by investing more in IT than in security. Countermeasure awareness equips firms with sufficient knowledge and experience to ensure effective implementation of IT, which provides more comprehensive protection than security investment alone. Our results suggest that firms should evolve beyond the reactive mindset of solely upgrading security and begin nurturing both threat awareness and countermeasure awareness to address the underlying IT system issues that are the cause of data breaches. Collapse

Topics: IT investment data breach IT security defense data security IT security threat

Methods: longitudinal research robustness check autocorrelation analysis survey literature study

Theories: institutional theory protection motivation theory

Examining the Differential Effectiveness of Fear Appeals in Information Security Management Using Two-Stage Meta-Analysis

2023 | Journal of Management Information Systems | Citations: 0

Authors: Lowry, Paul Benjamin; Moody, Gregory D.; Parameswaran, Srikanth; Brown, Nicholas James

Abstract: Most of the information security management research involving fear appeals is g ... Expand

Abstract: Most of the information security management research involving fear appeals is guided by either protection motivation theory or the extended parallel processing model. Over time, extant research has extended these theories, as well as their derivative theories, in a variety of ways, leading to several theoretical and empirical inconsistencies. The large body of fragmented, and sometimes conflicting, research has muddied the broader understanding of what drives protection- and defensive motivation. We provide guidance to the security discourse by offering the first study in the literature to employ two-stage meta-analytic structural equation modeling (TSSEM), which combines covariance-based structural equation modeling and meta-analysis. Information systems (IS) researchers have traditionally used meta-analysis for structural equation modeling for such purposes—an approach that has several serious statistical flaws. Using 341 systematically selected empirical security articles (representing 383 unique studies) and TSSEM, we pool a large series of five datasets to test six models, from which we examine the effects of constructs and paths in the security fear-appeals literature. We compare and test six versions of models inspired by issues in the broader fear-appeals literature. We confirm the importance of both the threat- and coping-appraisal processes; establish the central role of fear and that it has greater importance than threat; show that efficacy is a stronger predictor of protection motivation than is threat; demonstrate that response costs as currently measured are ineffective but that maladaptive rewards have a strong negative effect on protection motivation and a positive effect on defensive motivation; and provide evidence that dual models of danger control and fear control should be used. Collapse

Topics: H1N1 flu self efficacy Python data quality information security management

Methods: structural equation modeling meta analysis statistical hypothesis test hierarchical linear modeling statistical power analysis

Theories: fear appeal theory extended parallel process model protection motivation theory

Digitizing local search: An empirical analysis of mobile search behavior in offline shopping

2023 | Decision Support Systems | Citations: 0

Authors: Molitor, Dominik; Daurer, Stephan; Spann, Martin; Manchanda, Puneet

Abstract: Mobile devices have become increasingly prevalent in the context of consumers’ o ... Expand

Abstract: Mobile devices have become increasingly prevalent in the context of consumers’ offline search and shopping behavior by acting as personal decision support tools. This paper investigates the relationship between con­ sumers’ real-time location and their search behavior when shopping offline. We develop two location-specific measures based on mobile device usage to analyze the association between a consumer’s real-time location and their search behavior: Present store distance and present store density. We apply these measures to a unique dataset from a leading mobile product information app that includes >13 million search sessions from 2.5 million consumers searching for 1.8 million different products. Our findings show that store distance and store density significantly influence consumers’ mobile search behavior: detailed searches for product-specific attributes (search depth) increase as store distance decreases and store density increases, while the number of jointly searched products within the same category (search breadth) increases as store distance and density increase. We also find that durable products weaken the main effects of store distance and density on search depth but strengthen it for search breadth. These results provide insights for offline retailers to better understand locationspecific consumer demands and improve their mobile in-app targeting and product assortment decisions. Collapse

Topics: mobile application mobile system geographic information system global navigation satellite system location based service

Methods: descriptive statistic statistical hypothesis test theory development likelihood-ratio test robustness check

Theories: construal level theory