The Strategic Influence of Firm-Created WOM: Evidence from a Movie Industry

Hyunju Shin, Woojung Chang

Research output: Chapter in Book/Report/Conference proceedingChapterpeer-review

Abstract

A growing number of marketers have recognized the strategic importance of firm-created WOM (FCWOM) activity, which is defined as a firm's proactive management of customer-to customer communication. However, the basic questions of whether the implementation of FCWOM can drive more profits compared with non-implementation and when a firm should implement FCWOM are still largely unanswered. To answer these questions, the authors analyzed a panel data of WOM generated by movie distributors in the movie industry. Findings show that the implementation of FCWOM improves box office revenues; however, the early launch of FCWOM does not always lead to better firm performance.

Original languageEnglish
Title of host publicationDevelopments in Marketing Science
Subtitle of host publicationProceedings of the Academy of Marketing Science
PublisherSpringer Nature
Pages154
Number of pages1
DOIs
StatePublished - 2015

Publication series

NameDevelopments in Marketing Science: Proceedings of the Academy of Marketing Science
ISSN (Print)2363-6165
ISSN (Electronic)2363-6173

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