Untitled

Potential funders’ motivations in reward-based crowdfunding. The influence of project attachment and business viability

“…Therefore, when potential funders see that many people have decided to support a project, they are induced to believe that this project is good. This phenomenon is related to "herding" behavior, with people being more likely to support projects that have already reached a high percentage of their target because the imitation of others' decisions reduces uncertainties (Burtch et al, 2013;Dholakia & Soltysinski, 2001;Wehnert et al, 2019). Similarly, studies focused on fundraising pages have showed that donors are influenced by peer donations; in other words, the dollar amount of a new donation is positively correlated with the mean of past donations (Smith, Windmeijer, & Wright, 2015).…”

Customer Behavior Modeling in Revenue Management and Auctions: A Review and New Research Opportunities

“…Online bidders' behavior, together with strategies employed by software agents widely used in Internet auctions, are sophisticated and can be very different from the types of behavior observed in traditional auctions. Dholakia and Soltysinski (2001) report evidence of herd behavior bias: bidders will often be influenced by the behavior of other bidders when choosing items to bid on. This behavior occurs because of the lack of key information about an item.…”

An empirical application of herding behavior and compliance in the COVID‐19 crisis

“…This behavior has been found, for instance, in relation to stock market investing (Economou et al, 2018; Sias, 2004) and online product choices (Chen, 2008; Huang & Chen, 2006), whereby consumers rely more heavily on the behavior and choices of other consumers compared with signals from experts in the market. Herd behavior is also found in situations where the number of alternatives may be overwhelming, such as online auctions where individuals have been observed to bid on objects that already have many bids, although comparable objects are available for a lower price on the same site (Dholakia & Soltysinski, 2001).…”