The Visible Hand? Demand Effects of Recommendation Networks in Electronic Markets

@article{OestreicherSinger2012TheVH,
  title={The Visible Hand? Demand Effects of Recommendation Networks in Electronic Markets},
  author={Gal Oestreicher-Singer and Arun Sundararajan},
  journal={Management Science},
  year={2012},
  volume={58},
  pages={1963-1981}
}
O commercial interactions have increased dramatically over the last decade, leading to the emergence of networks that link the electronic commerce landing pages of related products to one another. Our paper conjectures that the explicit visibility of such “product networks”can alter demand spillovers across their constituent items. We test this conjecture empirically using data about the copurchase networks and demand levels associated with more than 250,000 interconnected books offered on… CONTINUE READING
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