Positive Relationships between Service Performance and Social Media Use in Internet Retailing

Does Information Symmetry Matter?

Authors

  • Yun Kyung Cho Metropolitan State University of Denver
  • Cynthia L Sutton Metropolitan State University of Denver
  • Nazim Taskin Boğaziçi University

DOI:

https://doi.org/10.7903/cmr.22963

Keywords:

Social media, Internet retailing, Information economic theory, Information symmetry, Order procurement, Order fulfilment

Abstract

The purpose of this research is to investigate whether differences in Internet retailer service performance influence the use of social media. Information economic theory is used to hypothesize a positive relationship between performance and social media use. To test the relationship, 516 Internet retailers’ websites were investigated, and their service performance was analyzed based on online customer reviews. Exploratory factor analysis transformed the customer review data into refined measurements. The logistic regression model validated the positive relationship between service performance and social media use. Internet retailers who use social media show higher service performance. However, the significant effect is limited to online service performance. Offline service performance (i.e., order fulfillment service performance) was not significantly associated with social media use. This study considers information symmetry as a critical factor in social media use, which differs from previous studies based on traditional technology acceptance frameworks.

Author Biographies

Yun Kyung Cho, Metropolitan State University of Denver

Dr. Yun Kyung Cho (Corresponding author) is currently an Associate Professor of Management at Metropolitan State University of Denver. He completed his Ph.D. at The University of Western Ontario (now Western University). His research areas include e-service taxonomy, e-service resources, and e-service quality and its impact on customer loyalty. His research has been published in many international journals, including Journal of Internet Research, Journal of Retailing and Consumer Services, and Journal of Service Research.

Cynthia L Sutton, Metropolitan State University of Denver

Dr. Cynthia Sutton is currently a Professor of Management at Metropolitan State University of Denver. She has a Ph.D. in Business Administration from Arizona State University and an M.S. in Management from Colorado State University. Her research interests include social media use by business, small business, job values, assessment of learning, and generational differences of employees. She has worked for several organizations (e.g., Hewlett-Packard) and consulted for others (e.g., I/N Tek).

Nazim Taskin, Boğaziçi University

Dr. Nazim Taskin is an Assistant Professor in Management Information Systems Department at Bogazici University, Turkey. Prior to this role, he worked as a Senior Lecturer at School of Management, Massey University, New Zealand. He holds a PhD in Interdisciplinary Studies from University of British Columbia, Okanagan, Canada. Dr Taskin is an Associate Editor in Journal of Modelling in Management in Big Data and Business Analytics Area and an Academic Editor in PLOS ONE. His research interests include Enterprise Systems, Strategic IS/IT Alignment, Big Data and Analytics, Decision Making, and Knowledge Management. He has published in various journals, including Australasian Journal of Information Systems, Journal of Knowledge Management, International Journal of Information Management, Journal of Electronic Commerce, and many others.

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Published

2023-10-10

How to Cite

Cho, Y. K., Sutton, C. L., & Taskin, N. (2023). Positive Relationships between Service Performance and Social Media Use in Internet Retailing: Does Information Symmetry Matter? . Contemporary Management Research, 19(3), 207–233. https://doi.org/10.7903/cmr.22963

Issue

Vol. 19 No. 3 (2023)

Section

Management issues in Electronic commerce and mobile commerce