Social influence of hubs in information cascade processes

Joohyun Kim (Naveen Jindal School of Management, University of Texas at Dallas, Richardson, Texas, USA)
Ohsung Kwon (School of Business and Technology Management, College of Business, KAIST, Daejeon, Korea)
Duk Hee Lee (School of Business and Technology Management, College of Business, KAIST, Daejeon, Korea)

Management Decision

ISSN: 0025-1747

Publication date: 15 May 2017

Abstract

Purpose

The purpose of this paper is to explore how hubs’ social influence on social network decisions can cause the behavior of information cascades in a market.

Design/methodology/approach

The authors establish understanding of the fundamental mechanism of information cascades through a computational simulation approach.

Findings

Eigenvector centrality, betweenness centrality, and PageRank are statistically correlated with the occurrence of information cascades among agents; the hubs’ incorrect decisions in the early diffusion stage can significantly cause misled shift cascades; and the bridge role of hubs is more influential than their pivotal position role in the process of misled shift cascades.

Originality/value

This implication can be extendable in the field of marketing, sequential voting, and technology, or innovation adoption.

Keywords

Acknowledgements

This work was supported by grants from the National Science Foundation (DMS-1612880) and by the National Research Foundation of Korea Grant funded by Korean Government (2014S1A3A2044459).

Citation

Kim, J., Kwon, O. and Lee, D.H. (2017), "Social influence of hubs in information cascade processes", Management Decision, Vol. 55 No. 4, pp. 730-744. https://doi.org/10.1108/MD-10-2016-0681

Publisher

:

Emerald Publishing Limited

Copyright © 2017, Emerald Publishing Limited

To read the full version of this content please select one of the options below

You may be able to access this content by logging in via Shibboleth, Open Athens or with your Emerald account.
To rent this content from Deepdyve, please click the button.
If you think you should have access to this content, click the button to contact our support team.