Does eWOM influence entrepreneurial firms’ rate of diffusion of innovation?

Alaeddin Ahmad, Manar Mousa AlMallah, Majd AbedRabbo

Research output: Contribution to journalArticlepeer-review

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Abstract

Purpose: This research aims to investigate the influence of electronic word-of-mouth (eWOM) on the diffusion rate of innovation in the context of entrepreneurial firms in emerging markets. It examines a comprehensive model for the effect of eWOM dimensions (including Content, Intensity, Positive Valence and Negative Valence) on the diffusion of innovations. Thus, it provides new insights on how entrepreneurial firms can use eWOM as a communication tool to facilitate the diffusion rate of innovations in emerging markets. Design/methodology/approach: A quantitative approach was adopted, consisting of 215 responses from Jordan. Data were analysed using Linear regression analysis tools. Findings: A significant relationship exists between eWOM dimensions (Content, Intensity, Positive Valence and Negative Valence) and the Diffusion Rate of Innovations. In emerging markets, eWOM content highlights critical information regarding consumers’ sentiments towards new products (including features, price, design), which consumers use in judging innovations. Especially when there is a high volume of eWOM about a new product, consumers are likely to gain reassurances regarding their purchase decisions. Specifically, the valence of eWOM (including reviews, complaints and suggestions) generate adoption/risk-aversion attitudes towards new products. Consequently, entrepreneurial firms must carefully analyse eWOM regarding their products and integrate them into their marketing strategy. 10; Originality/value: This research extends the eWOM literature by developing a comprehensive model for the effect of eWOM dimensions on the diffusion of innovations. Additionally, it sheds new light on the effect of eWOM valence on consumers’ attitudes towards innovations. Finally, it provides significant theoretical and managerial implications and future research direction to deepen our understanding of the effect of eWOM on entrepreneurial firms.

Original languageEnglish
Pages (from-to)92-111
Number of pages20
JournalJournal of Research in Marketing and Entrepreneurship
Volume24
Issue number1
Early online date17 Dec 2021
DOIs
Publication statusPublished - 27 Jun 2022
Externally publishedYes

Keywords

  • entrepreneurial firms
  • EWOM
  • emerging markets
  • diffusion of innovation

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