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It is Good or ‘Real’Good? The Chinese perspectives on the credibility of positive Online Word-of-Mouth affected by the message sidedness, length and online shopping

experiences

Author: Jiawei TIAN (11376589)

Date of Submission: 23/06/2017

Version: Final version

Qualification: MSc. in Business Administration-Marketing Track

Institution: ABS,UvA

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Statement of Originality

This document is written by Student Jiawei TIAN who declares to take full responsibility for

the contents of this document.

I declare that the text and the work presented in this document is original and that no

sources other than those mentioned in the text and its references have been used in creating it.

The Faculty of Economics and Business is responsible solely for the supervision of

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ABSTRACT

This study aims to investigate the effects of online positive word-of-mouth (WOM)

message sidedness on consumers’ purchase intention, with a particular interest in China

market. The role of the online shopping experience in this relationship was also studied. With

the fast development and complicated market environment in China, an increasing number of

Chinese consumers have started to be more sensitive with the credibility of the information

they daily received, especially the credibility of the online WOM, which is one of the keys to

the success of many products. A pilot study, some manipulation checks, and a subsequent

formal experiment with 4 scenarios conducted to test the hypotheses. 160 Chinese online

consumers participated. The results of this study reveal that the message sidedness and the

perceived length has an interaction. When the positive eWOM is long, the argument with

products benefits and (acceptable/minor) drawbacks will be more credible than the one with

only benefits due to attribution theory. This effect does not exist when the argument is short.

Online shopping experience acts as moderator in this relationship. The limitations of this

study are mainly from the bias caused by non-probability convenience sample and common

method bias in the results. Chinese companies or companies interested in China market who

could consider the length and message sidedness when they making eWOM strategies,

especially when designing the structure of online consumer reviews on their websites.

Keywords Electronic word-of-mouth, Credibility, Word-of-mouth, China, Length, Message

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TABLE OF CONTENTS

1. INTRODUCTION ...6

2. LITERATURE REVIEW ...10

2.1 Word-of-mouth ...10

2.2 Electronic word-of-mouth ...11

2.3 The importance of perceived eWOM credibility ...13

2.4 The crisis on perceived eWOM credibility ...14

2.5 The factors affecting perceived eWOM credibility ...15

2.6 The mixed results on the effects of message sidedness ...15

2.7 Moderating role of length ...17

2.8 Online shopping experience ...17

2.9 The moderation role of online shopping experience ...18

2.10 Online consumer review ...20

2.11 Online shopping environment in China ...21

3. DATA AND METHODS ...22

3.1 Participants and design ...23

3.2 Descriptive variables ...24

3.3 Independent variables ...24

3.4 Dependent variables ...26

3.5 Procedure ...27

3.6 The pilot tests ...27

4. RESULTS ...28

4.1 Manipulation check ...28

4.2 Test of H1: the moderation role of eWOM length ...29

4.3 Test of H2: the moderation role of online shopping experiences ...31

5. Discussion ...33

5.1 Academic contributions ...34

5.2 Managerial contributions ...35

5.3 Limitations ...37

5.4 Future research directions ...39

6. CONCLUSIONS...41

REFERENCES ...46

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LIST OF TABLES

Table 1. The factorial design in the experiments ...24

Table 2. Test of H1: The interaction between the perceived length and message sidedness ..30

Table 3. Test of H2: The moderation effect of the online shopping experience ...31

Table 4. Test H2: Conditional effects ...32

LIST OF FIGURES Figure 1. Conceptual model for hypothesis 1 ...19

Figure 2. Conceptual model for hypothesis 2 ...20

Figure 3. The visualisation of methodology ...22

Figure 4. Test of H1: Estimated means of credibility ...30

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1. INTRODUCTION

Word-of-mouth (WOM) could be explained as the informal communication

conducted among private consumers, in order to examine the products or services, as defined

in the research of Anderson (1998). It might be one of the oldest and most influential ways

for consumers to share information, before, during and after the purchase (Arndt 1967;

Alreck and Settle 1995; Cheng and Huang, 2013; Gupta and Harris, 2010; Lee et al., 2013;

Lu et al., 2013). Different with complaints and advertisings, WOM is raised among

consumers themselves instead of between consumers and companies. As a result, WOM is

considered as more trustworthy and credible (Bone 1995; Bickart and Schindler 2001).

Consumers look for WOM as a reference for their purchase before making the final purchase

decisions and share their own information received from the purchase and usage of the

products/services to other consumers after the purchase. Thus, WOM plays an important role

in guiding the purchase decisions, making it important for the sales (Walker, 1995; Söderlund

and Rosengren, 2007; Gu et al. 2012; Liu, 2006). Besides, WOM also has significant effects

on converting attitudes (Day, 1971). It is found by Day (1971) that compared with

advertising, WOM is nine times more effective in turning negative attitudes into positive

ones. Companies facing trust issues may find it helpful to convert their images into more

positive ones by employing the force of WOM. All the those make the study of WOM very

interesting and important.

With the quick development of the Internet, WOM has been expanded with new scale

and scope. As a new type of WOM, electronic WOM (eWOM) is of great importance

(Cheung and Lee, 2012; Bickart and Schindler, 2001; Goldsmith and Horowitz, 2006;

Dellarocas 2003; Hennig-Thurau et al. 2004; Sun et al. 2006). The eWOM is defined as the

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review websites like TripAdvisor and online shops like Amazon, recommendations on social

media like microblogs and youtube (e.g. series of unboxing videos). The convenience and

rapid development of the Internet make the spread of online WOM much more visible and

easier to be seen by interested parties, wth considerable impacts. A better understanding of

how these online eWOMs’ exchange affect consumers’ behaviours is important, due to the

fact that “Marketing managers and consumers often use other managers and consumers as

sources of information” (Weiss et al., 2008, p.425). The measurable characteristics of eWOM

also make it valuable to be used as a marketing tool for marketers (Tang et.al, 2014;

Dellarocas, 2003). However, the effectiveness of the eWOM depends on many factors, for

example, credibility, source characteristics, receivers’ identity, message characteristics, and

the contextual issues (Dichter, 1966; Sweeney et al., 2008), among which credibility has

raised huge recent interest for researchers to study when eWOM is treated as a marketing tool

(e.g. Cheung et al., 2009; Smith and Vogt, 1995).

It is important for consumers to trust on the content of eWOM before they use them.

However, with more and more managers attempting to eWOM as a marketing strategy

(Chatterjee 2001; Werde 2003), the credibility evaluation process has become a key issue in

the eWOM searching process for online consumers.

With 21.5% of the worldwide Internet users in China (Internet World Stats, 2017) and

39% Asian Internet users, China is quickly developing its online shopping users. Along with

such quick development, the increasing fake eWOM has become an issue and of particular

interest to study. The trend of electronic commerce in China is developing quickly (CNNIC,

2011). Additionally, With the well-developed express network (for example, Shunfeng

Express could achieve one-day delivery in most of the Chinese provinces), the support from

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the advanced online payment methods (e.g. Alipay, WeChat Pay) (Backaler, 2010), online

shopping is also turning into a habit for people living in China (CNNIC, 2011). However,

with more and more reports on the eWOM writers as a new type of career and the increasing

exposure of fake eWOMs, Chinese consumers start to put more attention in the credibility of

the eWOM. This issue is critical for all the Chinese online market. If these consumers could

not trust the eWOMs, no matter how many positive eWOMs are left in the websites, damages

on the images of websites or products might be resulted right away and the usefulness of the

eWOM will lose on the consumer side (Cheung et al., 2009; Smith and Vogt, 1995). Thus,

figuring out which factors will affect the perceived eWOM credibility of consumers in China

is of great importance.

There is limited research on the impact of message sidedness (one-sided or two-sided

message) on the perceived credibility although there is much research on the factors affecting

perceived credibility of eWOW, for example, the source credibility, eWOM quantity, eWOM

quality and gender of readers (e.g. Awad and Ragowsky, 2008; Fan et al., 2013; Senecal and

Nantel, 2004; Mayzlin, 2006; Palmatier et al., 2006). However, the effects of message

sidedness on the advertising (e.g. Eisend, 2005) have been widely studied. Due to attribution

theory, particularly correspondence theory advertising message including some negative

features of the products or service would increase the credibility of the advertising (Eisend,

2005; Jones and Davis, 1965; Jones and McGills, 1976; Kelley, 1972, 1973). Similarly,

facing the eWOM, consumers may attribute that those reviews only including positive

features of products are written by professional writers hired by companies or are written by

consumers with incentives given by companies, which may not reflect the real features of

products. Thus, the positive eWOM containing both positive features and negative features

(two-sided) might make consumers feel more credible than eWOM that only contains

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sidedness are mixed (Wee and Lwin, 2006; Schlosser, 2011). Why is the results mixed? It

there some moderators involved in the relationship? Herr et al. (1991) state that the way the

information presented in the eWOM could influence the eWOM effectiveness. Since people

normally perceive that other consumers have no reason to write down very long positive

comments if there is no incentive offered from the companies, the length of the argument as a

part of the information presentation might moderate the relationship between the message

sidedness and the perceived credibility, which is limitedly examined in the previous research.

Thus, this study is going to addressing that whether the eWOM length is a moderator which

caused the mixed findings and only put the interest on the positive eWOMs because positive

ones are more like advertising in the sense that both of them encourage following purchases.

Depart from the possible moderation effects of argument length, no research has

related online shopping experience with the message sidedness either. The online shopping

experience as a moderator could be interesting to discuss. According to Doh and Hwang

(2009 ) and McKnight and Kacmar (2006), consumers may evaluate the credibility

differently when facing the same message. People with more online shopping experience may

have more exposures on the fake eWOMs and might be more critical on credibility

evaluation. Consequently, online shopping experience would be the other moderator to be

tested in this study.

The research question of this study is:

In the Chinese online shopping environment, will the length of the eWOM moderate the relationship between the message sidedness and perceived credibility of positive eWOM?What is the role of online shopping experience within such relationships?

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In this study, all the eWOMs mentioned in the following parts refer to the positive

eWOMs, the eWOMs end with the tendency to recommend the products, no matter they are

one-sided or two-sided. The online consumer review, the positive or negative statements

consumers leave on the shopping websites, will be used as the representative of eWOM in

this study(Chevalier and Mayzlin, 2006; Clemons et.al, 2006).

The rest of paper is organised as follows. It will first list current related literature state

with the hypothesises, followed by the detailed description of the data and methodology.

Then the results will be revealed and assessed critically. The limitations of the research and

the implications will be discussed at the end of the thesis.

2. LITERATURE REVIEW

2.1 Word-of-mouth

WOM, as defined by Westbrook (1987), is the informal communication among

consumers, focusing on the features and the user experiences of the products or services.

These consumers are formed by a pool of past, current and potential consumers (Chen et al.,

2011). Ladhari (2007) defines the WOM as “WOM consists of informal person-to-person

communication between a perceived noncommercial communicator and a consumer about

ownership, or characteristics of a brand, a product, a service, an organisation, or a seller”,

which combines several definitions together (Westbrook, 1987; Buttle,1998; Harrison

Walker, 2001). WOM is regarded as a more credible and an easily accessible source of

information compared to the channels from the sellers (Dellarocas, 2003; Hennig-Thurau et

al., 2004; Brown and Reingen, 1987; Murray, 1991). Therefore, WOM is of high significance

for consumers and consumers are used to consult people around them to find WOM before

and while making purchasing decisions. To study the behaviours of consumers, researchers

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al., 1969; Richins, 1983; Higie et al., 1987; Herr et al.1991; Murray, 1991; Bone, 1995;

Hartline and Jones, 1996; Bansal and Voyer, 2000; Brown et al., 2005).

There is also much research on the impact of WOM. It is found that WOM has

significant impacts on consumers’ attitudes and behaviours (Herr et al., 1991; Bone, 1995;

Söderlund and Rosengren, 2007). Regarding the valence of the WOM, conflicting findings

exist. Some studies claim that the negative WOM is more powerful than the positive ones

(Arndt, 1967). However, Skowronski and Carlston (1987) finds that positive ones are of

stronger effects. WOM also have a strong relationship with the sales of the products,

according to the research conducted by Gu et al. (2012) and Liu (2006). However, there is

also doubts on the usefulness of WOM saying that the high WOM are only related to the past

performance instead of current or future performance (Godes and Mayzlin, 2004). In

conclusion, the WOM topic is both interesting for managers and researchers in the marketing

field.

2.2 Electronic word-of-mouth

With the development of the Internet, the way people searching for WOM to evaluate

the products or services before and in the process of purchase has changed. The eWOM,

electronic word-of-mouth, has come into eyes and is becoming more and more important as a

new type of WOM. It could be defined as “any positive or negative statement made by

potential, actual or former customers about a product or company, which is made available to

a multitude of people and institutions via the Internet” (Henning-Thurau et al. 2004) and is

mostly created by anonymous individuals (Dellarocas 2003; Goldsmith and Horowitz 2006;

Sen and lerman 2007). The enormous product information and reviews have attracted an

increasing number of consumers to search for eWOM online and further leads to a

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information searching is significantly improved with the help of the Internet. As a

consequence, eWOM is treated as one of the most critical factors when people making

purchasing decisions (Moran et al., 2014; Duan et al., 2008). It is even seen as of higher

influence than sellers-created information (Bickart and Schindler, 2001).

The main characteristics of the eWOM are about the accessibility, quantity,

measurability, and controllability. Furthermore, regarding the quantity, there are far more

online WOMs than offline WOMs since the geographical limitation is broken and consumers

could now get access to reviews left by people who they have little or no relationship with

(Duan et al., 2008). The anonymous feature of the eWOM also makes consumers more

comfortable to share their real opinions with other consumers without the worry about

releasing their real identity (Goldsmith and Horowitz, 2006; Chatterjee, 2001). Compared to

the traditional WOM, for consumers, it is easier to access with the advanced search engines

and infrastructures. For managers and researchers, the benefits of eWOM are that electronic

word-of-mouth is more measurable and controllable since the content of WOM is easy to be

found and the number of it is easy to be counted (Godes and Mayzlin, 2004). Some websites

like Amazon.com even offer opportunities for sellers to decide if they wish to open the online

reviews function and the presentation format of the reviews in order to better control the

eWOM. These unique features have also post challenges to consumers, managers and

researchers (Lehto et al. 2007). For instance, the overload eWOM and the enormous

unstructured information could further cause information overload (Park and Lee, 2008).

Thus, eWOM could be easier put into marketing strategies for managers to improve

the performance compared to the traditional ones and of great importance for researchers to

focus on when studying online consumer behaviours. Some prior research has empirically

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Godes and Mayzlin (2004), the online WOM is positively related to the popularity of the

television shows. After a study of data collected from some movie reviews, Liu (2006) also

states that the changes of the revenues of the movies could be partly explained by the eWOM

gained by the movies. Some other researchers (Dellarocas et al., 2007) find the evidence that

the online consumer review is a useful factor to predict the revenue. The sales and stock

prices are also positively related with eWOM as shown in the research of Chevalier and

Mayzlin (2006), Dellarocas et al. (2004), and Joeckel (2007).

The influence of the eWOM on the purchasing intention and behaviours is related to

several factors. For instance, the strength of the ties among people would affect the readers’

following behaviours (Chu and Kim, 2011). It is also found by Sparks et al. (2013) that the

sources and the content of eWOM may influence the readers’ attitudes and purchase

behaviours.

2.3 The importance of perceived eWOM credibility

As eWOM is increasingly important for consumers when they are trying to make

online purchasing decisions, those issues related with how people assess the credibility of

eWOM have become the main research focuses for researchers and for managers who are

interested in engaging with their consumers. It is because consumers trust the information

collected from their peers far more than marketers (Lee and Youn 2009; Kozinets et al.

2010). The definition of the credibility of the eWOM is that the extent to which readers think

the information in the eWOM is worth to trust (West, 1994; Gunther, 1992; McKnight and

Kacmar, 2007; Ling and Liu, 2008). The degree of the eWOM effectiveness is affected by

the eWOM credibility assessed by the consumers (Hovland and Weiss, 1951). According to

Cheung et al. (2009) and Smith and Vogt (1995), the perceived eWOM credibility is a

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also believe that the perceived credibility level would affect the amount of adopted

information since credibility assessment is a must stage in the information processing.

Similar perspectives are found in Smith and Vogt (1995) ’s research as well, claiming the

credibility is significant for the information adoption. If consumers cannot trust the

information contained in the eWOM, it is difficult for them to reply on the eWOM and the

effectiveness of the eWOM will be damaged significantly.

2.4 The crisis on perceived eWOM credibility

However, it is argued by many researchers that the anonymous nature of the eWOM

threats the eWOM credibility and makes the credibility assessment of eWOM more difficult

for consumers compared to that of traditional ones (Chatterjee, 2001). The anonymity offers

marketers or individuals to manipulate eWOM and further affect consumers’ behaviour on

purpose (Chatterjee, 2001; Schindler and Bickart, 2005). Markers may post their own review

themselves directly themselves or to direct individual consumers to spread only positive

reviews with certain compensation (Chatterjee, 2001; Werde, 2003; Abendroth and Heyman,

2013). Dellarocas (2006) and Mayzlin (2006) analyse the situations in which companies may

manipulate the online reviews and conclude that the sellers may post positive reviews in

order to raise the awareness of the products or to purposely affect consumers’ opinions

towards their products or services. Nevertheless, those manipulated reviews are not possible

to reflect the trustworthy user opinions and those review manipulation behaviours of

companies are not in the line with the eWOM readers’ benefits, who are searching for

independent voice from real past buyers as the reference for decision-making instead of

sellers (Lee and Youn 2009; Kozinets et al. 2010). Managers should not take the credibility

as granted when manipulating the eWOM but should think clearly about what constitutes

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2.5 The factors affecting perceived eWOM credibility

The prior research studying how people assess the credibility of the eWOM mainly

focuses on the sources, quantity and quality of eWOM. For instance, perceived credibility

from different platforms, like third-party platforms and brand’s self-owned websites,

different blogs, are found to provide significantly different levels of credibility perception

(e.g. Senecal and Nantel, 2004; Mayzlin, 2006; Palmatier et al., 2006; Bickart and Schindler,

2001; Hung and Li, 2007). It means that even with the other factors constant, people tend to

trust some channels more than other ones. The information on the commercially-related

platforms is always of higher doubts then those on the third-party ones. The quantity and

quality of the eWOM are also identified to be essential factors for eWOM readers’

assessment process (e.g. Fan et al., 2013). In addition, the time when the eWOM is delivered

may affect the credibility as well, according to Sternthal et al. (1978). The perceived message

credibility of online consumers is not the same all the time but actually may change during

the process of continuous communication and information exchange with other readers on the

online review platforms (Mackiewic, 2010). Additionally, other factors are also studied by

many researchers in order to predict the perceived eWOM credibility, for example, gender

(Awad and Ragowsky, 2008), products features (Chen and Xie, 2008; Lin and Fang, 2006)

and review readers’ personal characteristics (Doh and Hwang, 2009; McKnight and Kacmar,

2006). Furthermore, Chen et al.(2004) state that the perceptions of the eWOM credibility are

easy to be affected, which means that the marketers could think about appropriate methods to

enhance the level of perceived credibility instead of reducing it.

2.6 The mixed results on the effects of message sidedness

There is little research about how the message sidedness of eWOM as factors

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increase the credibility using a series of empirical findings. According to Eisend (2005), the

fact that people tend to trust more about the two-sided advertising is related to the attribution

theory, especially with correspondence theory, which explains how people attribute reasons

behind the events (Jones and Davis, 1965; Jones and McGills, 1976; Kelley, 1972, 1973).

The similar case may happen for positive eWOM as well since positive eWOM is

similar with advertisement in the sense that they are both encouraging following purchase.

The credibility could be enhanced when the amount of negative information increase in the

message (Eisend, 2005). When there are both positive and negative features contained in the

message (two-sided), people may think the reason to share such information is not done on

purpose by companies trying to promote their own products. However, the negative

information should not be important factors about the products and should not be included

too much in the positive reviews, or there will be an inconsistency between the negative

information and the positive recommendation and results in decreased credibility (Luo et al.,

2014; Schlosser, 2011).

The findings of prior research on sidedness are inconsistent with the predictions

above and mixed. In the research of Wee and Lwin (2006) conducted in Singapore with a group of students, the prediction that two-sided eWOM would be more credible was not

supported. Schlosser (2011) related the message sidedness with rating extremity and found

the significant correlation between these two factors. It is claimed that when the ratings is

moderate, the two-sided message would be more credible than one-sided one. People with

extreme ratings would be regarded as lack of ability to evaluate the products or services

correctly. Further research should be conduced to find the reasons behind the conflicting

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2.7 Moderating role of length

The information presentation method is related with the eWOM credibility (Herr et al.

1991). With attribution theory, people may perceive that it is less likely for other consumers

to write down very long positive reviews with only positive sides about a product, unless they

get some compensations. Thus, the length of the argument might helps the mixed findings

about message sidedness as a type of information presentation category and these long

one-sided positive reviews may have less credibility than two-one-sided ones. But when the argument

is short, there might fewer doubts on the one-sided positive reviews with a lack of attribution

to sales motives (Eisend, 2005).

Thus, based on the preceding discussions, the first group of the prediction (H1) is that

Hypothesis 1a (H1a). For the positive long online WOM, the credibility will be higher if the message sidedness is two-sided than one-sided.

Hypothesis 1b (H1b). For the positive short online WOM, the message sidedness will not affect the eWOM credibility.

2.8 Online shopping experience

Many researchers have found that there is a relationship between the prior knowledge

and the message processing method when evaluating the eWOMs (Kim and Park, 2008). The

types of online reviews are important for people with more knowledge while consumers with

less knowledge care more about the quantity of the eWOMs. But only few studies focus on

the effects of online shopping experience. With the instant development of the Internet, the

search costs have been significantly reduced (Brynjolfsson and Smith, 2000) and the

consumers start to learn to use the convenience of the Internet to compare multiple

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information, the more online experience would be gathered during the process (Kehoe et al.,

1999; Palmquist and Kim, 2000; Weiser, 2000).

2.9 The moderation role of online shopping experience

Considering its relationship with the credibility of eWOM, it is found that people with

different Internet experience would have different levels of confidence on the Internet (Bart

et al. 2005). Thus, consumers with less online experiences are likely to be a lack of certainty

when using online consumer reviews, according to Bart et al. (2015)’s research on an Internet

movie. The study of Novotny (2004) also shows that the lack of Internet experience may

even result in quickly giving up on the Internet when consumers trying to use it as an

information resource and online consumer reviews are more likely to be used by people with

more online experiences.

At the same time, however, the opposite opinion is that consumers with more online

shopping experience, who are more likely to use reviews as a source for the product, tend to

think more about the credibility of the eWOM since they may have more likely to face

reviews sources with low credibility and put more attention on the related news about

companies hiring professional review writers (Cook and Coupey 1998). Some of them may

have experienced the negative impacts already (Cheema and Papatla, 2010). They may even

tend to trust the offline information more credible than online sources, according to Klein and

Ford (2003), through their research on the automobile consumers. And they may have higher

alertness on the review evaluation process and think the information in the online reviews are

less credible with the fact that anyone could post the reviews on the internet (Cheema and

Papatla, 2010). Consequently, while the online consumers with few experiences may put

more trust on the online review, the more experienced people may think the opposite and has

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These conflicting opinions above have raised the interest to study whether shopping

experiences may moderates the relationship between message sidedness and perceived

credibility and how does it work, holding the length as constant. Based on the previous

hypothesis (H1b) that there will not be significant effects of message sidedness on credibility

when the argument is short, the second hypothesis would only consider the long argument

situation. It would be adjusted if H1 was not supported. Thus, the second hypothesis is:

Hypothesis 2 (H2). When the positive WOM is long, with the increase of consumers’ online shopping experience, the effect of message sidedness on credibility is stronger.

The conceptional framework for this study is shown as below (Figure 1 and Figure

2).

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Figure 2. Conceptual model for hypothesis 2

2.10 Online consumer review

Among all the eWOM channels, online consumer reviews, online reviews about

products or services left by consumers to communicate opinions, recommendations, are one

of the most popular eWOM types with the weak anonymous ties (Brown and Reingen, 1987).

Although online reviews offer similar product information with those provided by the

companies, it has some distinctive characteristics. While the information from the sellers is

more product-oriented like technical figures regarding industry standards, those from the

consumer reviews are more user-oriented, describing the product’s features from users’ angel

(Bickart and Schindler, 2001). It may also contain certain information that would not be

included in the information released by sellers and add more value to consumers making

purchase decisions. Thus, the peer reviews are also of higher credibility than seller-created

information (Dellarocas et al., 2007).

The number of research studying the online reviews has been increased in the recent

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online reviews with the online purchase decisions. Some other research put their focus on its

impact on the sales (Dellarocas et al., 2007; Dhar and Chang, 2009; Forman, 2008; Hui et al.,

2012; Huang and Chen, 2006) and its relationship with the marketing strategies (Chevalier

and Mayzlin, 2006; Godes and Mayzlin, 2004; Mayzlin, 2006). For example, Chevalier and

Mayzlin (2006) studies the data collected from the sales of books on Amazon.com and

Barnesandnoble.com. There is a clear positive relationship between the reviews and sales on

the websites from their research results. Moreover, the data on the comScore (2007) also

shows that the online consumer reviews have a huge impact on more than 70% of the 2000

Internet participants in their research when making purchase decisions. It is also claimed that

the reviews from professional have less influence than those from consumers.

Considering such impacts, this research is going to use online consumer reviews as a

typical representative of eWOM.

2.11 Online shopping environment in China

Electronic commerce has been deeply into Chinese life. 52.7% of the population in

China are now Internet users, which is around 720 billion and accounts for around 39%

Internet users in Asia and 21.5% in the world (Internet World Stats, 2017). According to

Wang (2011), the number of Chinese online shoppers were already160 million in 2010 and

around 523.1 billion RMB were involved in the e-commerce activities. These figures have

increased quickly in recent years and are predicted to increase rapidly during the next 10

years (Internet World Stats, 2017). The rapid growth of online consumers indicates the

importance to pay more attention to the study of Chinese perceptions on eWOM. The

well-built express services infrastructure, the quick development of Internet and the support from

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In such perspective, the online shopping context of China is selected to be the study

context in this research.

3. DATA AND METHODS

This section explains how, where and why the data was collected and how the

research was designed, which is important to diminish the validity of data and excluding the

external threats on this study. Four research books were referenced when designing the

methodology (Field, 2013; Mason et al., 2003; Saunders et al., 2012; Schreuder Peters,

2011). Figure 3 is the visualisation of the methodology used in this research.

A deductive method was chosen for the research. It started with a list of theories

review on the prior research and provided a solid foundation for the following conceptual

models. The concepts were then tested using a series of quantitative methods. The nature of

this study was explanatory and the relationships among multiple variables were examined.

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3.1 Participants and design

In order to test the relationships in the hypothesis, this research was conducted using

the experiments approach. The experiment was conducted via online surveys and these

surveys were spread out on the Internet. The official academic Qualtrics account of the

University of Amsterdam was used to deliver the surveys in order to reveal the academic

purposes. According to Saunders et al. (2012), one positive feature of data collection through

the survey is the positivistic view associated. Surveys could also help to reduce observer

errors and observer bias, which might be caused by the same questions being asked in

different ways and the same data explained in different ways (Saunders et al., 2012). With all

the questions constant in a survey, these two issues could be maximumly avoided. By using a

commonly accepted rule like 95% confidence testing (Field, 2013), the interpretation biases

could be reduced.

The survey was in Chinese in each condition and the translation-back-translation

(Brislin, 1980) method was used to translate all the items. The surveys were delivered via

four different links through different Internet channels to collect responses and participants

were encouraged to share the survey to their colleagues and family members in order to reach

enough responses as soon as possible. Out of all the responses, 13 responses were unfinished

and then removed from the sample and for final analysis. The surveys without enough valid

responses were distributed again until enough valid responses answers were collected to

reduce the bias brought by the unequal number of each condition. In the end, one hundred

and sixty valid responses were collected in this study (among the subjects, 92 were males).

The participants were randomly assigned to cells of a 2 (length: long or short positive

eWOM) * 2 (message sidedness: one-sided or two-sided) factorial design (Table 1), which

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between-electronic camera of a makeup brand name (same as Laczniak and Muehling 1993; Zhang

and Zinkhan, 2006) was chosen as the experimental product after a series of consideration on

candidate products. One of the reasons behind was that the price of a camera normally was

not low, thus the risk of purchasing a bad camera would be relevantly high and consumers

may care more about the credibility (Chen and Xie, 2008; Lin and Fang, 2006; Kahneman

and Tversky, 1979).

Long and one-sided Long and two-sided

Short and one-sided Short and two-sided

Table 1. The factorial design in the experiments

3.2 Descriptive variables

Four demographic information were requested to be filled in the survey as descriptive

variables, age, education level, gender and residence country. The variable age was filled by

asking participants to fill in a number in the blank. The education level was classified as six

categories, ‘lower than high school degree’, ‘high school degree’, ‘Bachelor degree’, ‘Master degree’, ‘PhD or higher degree’, and ‘other degree’. Two options for gender were given to

choose, ‘male’ or ‘female’. The ‘residence country’ was to make sure the respondents were

the target sample, people who live in China and affected by Chinese online context.

3.3 Independent variables

This sections explains how the three independent variables, length, message sidedness and

online shopping experience, were pre-tested and measured in the experiments. Sample

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3.3.1 Length

The length of the eWOM was decided by a pretested group (n=25) by having them to

rate the length of 20 real positive eWOMs for camera collected from the biggest Chinese

online shopping website, taobao.com as short, mediate and long, by instructing them to

imagine “if you are searching for a camera online’. It is found that the eWOMs with more

than 145 words would be 100% considered as long eWOM and with less than 30 words were

100% considered as short. Thus, the length of long eWOM was controlled more than 145

words and that of short one was controlled within 30 words while expressing the same

comments on the product features.

3.3.2 Message sidedness

The positive eWOMs are classified with two argument types, one-sided and two-sided

argument. Arguments for the experimental camera were tested from a pretested group (n=25)

by instructing pre-test participants to list “the product benefits that would be included in your

positive eWOM when choosing a camera” and “the product drawbacks would be included in

your positive eWOM after buying a camera’’. Such method is similar to the one used by

Zhang and Zinkhan (2006). The three features mentioned mostly as benefits (photo quality,

quality-price ratio, detailed instructions) and one of the features mentioned most as

drawbacks (not very satisfied with the camera colour) were chosen to form the eWOM used

in the experiments.

The qualitative findings of O’Reilly and Marx (2011) reveal that the logic, quantity,

ability to find corroborating sources and the previous experience of participants with

particular sellers would affect the assessment of online WOM. To avoid the bias brought by

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subjected to analysis of variance (ANOVA), using logic as the dependent variable. However,

the initial argument logic manipulation did not result in the same level (F=9.708, df=3,

p<0.001, means:4.60, 4.50, 5.63, 5.50). Upon careful reexamination of the arguments and

adjustment, the logic of each condition was finally achieved as not significantly different

(F=0.382, df=3, p=0.766, means:5.46, 5.35, 5.62, 5.46) with a subsequent pre-test (n=26).

The results in the Turkey’s procedure also revealed that no pairwise comparison was

significantly different. Thus, the desired effect of logic manipulation is reached.

The arguments were then adjusted until the average logic level among each condition

group was not significantly different. The other three factors mentioned in the O’Reilly and

Marx (2011)’s research were not relevant in this study since only one eWOM was included in

each condition and the no additional information on other sources or sellers.

3.3.3 Online shopping experience

Online shopping experience of consumers is measured with a 6-item scale ranging

from 1=” strongly disagree” to 7=” strongly agree”( coefficient α=82). The five items are

similar to the list employed by O’Reilly and Marx (2011) and are listed as follows: 1) I

regularly purchase online. 2) I like to use online shopping more than offline shopping. 3)

Compared to others, I am one of the most frequent online shoppers. 4) I have made a

purchase online. The fourth item was reverse-scaled.

3.4 Dependent variables

Positive eWOM credibility refers to the credibility of eWOM containing conclusions

with the intendancy of the writer to recommend the products to the eWOM viewers. It

indicates the degree that eWOM viewers perceive the eWOM is true. It was measured with a

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agree”. The four items are 1) I think the comment is credible. 2) I can trust on the comment

listed in the eWOM. 3 )I think the comment is from a real person who is trying to help other

consumers. The second item was reverse-scaled.

3.5 Procedure

Each participant was only allowed to fill in the survey once. People have participated

any of the pre-tests or manipulation checks could be asked not to fill in the survey again. In

the survey, after the basic geographical information, participants filled in questions to

indicate their online shopping experiences and were then told that they need to imagine that

they were trying to purchase a camera in an online shopping context and then found the

camera in the picture with an online comment. The credibility of the WOM was evaluated

after they reading the eWOM. The display and picture of the product of each survey were all

the same in order to mostly exclude the effects brought by the design-related factors. To

reach enough responses, and avoid the bias brought by the unequal number of each group, the

surveys were checked manually during the data collection process to make sure the final

response for each condition was 40. Unfinished surveys and surveys from the participants

who do not live in China anymore were excluded and more data were collected until an equal

qualified number of responses were collected in each group.

3.6 The pilot tests

Because that the successful manipulation of length and message sidedness are critical,

a pilot test with 123 participants was conducted. Subjects were randomly involved in one of

the four conditions and were then required to evaluate 1) how did they think about the length

of eWOM; 2) how did they think about the eWOM message sidedness, that is, including both

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Perceived length scores were then compared using ANOVA between the paired long

eWOM conditions and the paired short eWOM conditions. The difference between two

groups are significant (F=4.672, df=1, p<0.001, means:1.96, -1.54). A similar process was

conducted for the argument type and the difference between the paired one-sided eWOM and

the two-sided eWOM was also significant (F=5.435, df=1, p<0.001, means: 2.23, -1.23).

4. RESULTS

To avoid the bias brought by the missing data, the initial check of the missing data

was conducted. These missing data were then treated using Listwise deletion method,

meaning only the cases without any missing data in any variable were analysed. The

reverse-scaled items were then recomputed into the normal ones. Variables measured with scales

were transformed into new variables separately as ExperTOT and CreditTOT. Factorial

ANOVA was conducted in order to test H1. H2, the moderation effect of shopping

experiences on the relationship between the message sidedness and the credibility of

perceived long positive eWOM, was then tested by running moderation analysis in Process.

For the moderation effect analysis, only the two conditions with long arguments were

included since the short ones were of no interests.

The following sections described the manipulation check processes and hypothesis

tests results in details.

4.1 Manipulation check

To conduct manipulation checks, two separate ANOVAs were conducted. The

perceived length and message sidedness scores were dependent variables. Before the

ANOVA test of length, two groups of data in the long conditions were grouped together as a

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positive eWOMs were rated as of differentially perceived length by the participants

(F=114.381, df=1, p<0.01, means: 1.20, -0.73). Also, after the preparation of new one-sided

and two-sided groups of data as done for the length test, it is found that the message

sidedness was perceived differently (F=434.893, df=1, p<0.01, means:1.33, -1.19).

Therefore, the manipulations were effective.

4.2 Test of H1: the moderation role of eWOM length

Hypothesis 1 is related to the perceived length, message sidedness of eWOM and

their relationship with the positive online WOM credibility. Hypothesis 1a. suggests that

when the eWOM is only with positive features of the products, shorter WOM will have

higher credibility than the long one. Hypothesis 1b predicts that the perceived length of

eWOM will not have a different effect on the credibility if the eWOM is argued with both

positive and negative aspects.

The hypothesised effect will be supported when the main effect of the message

sidedness is significant, whereas the main effect of perceived length on the credibility of

eWOM is not significant. Also, the interaction between the perceived length and message

sidedness should be significant. The results for hypothesis 1 is shown in Table 2. The

credibility of eWOM had a significant message sidedness * perceived length interaction

(F=4.502, p=0.035). Follow-up analysis revealed that the message sidedness main effect was

significant (p=0.027) and the main effect of eWOM perceived length was not significant

(p=0.556). The interaction was also significant (p=0.035). Therefore, on average, the

credibility of the long and short eWOM has no significant difference while the credibility of

the positive eWOM with different message sidedness has a significant difference. The

two-sided positive eWOM has higher credibility compared to that of one-two-sided eWOM. The

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message sidedness, the credibility of long eWOM increase significantly while the credibility

of short one remains pretty much the same. Thus, both H1a and H1b were supported (see

Appendix 1 for detailed results).

Table 2. Test of H1: The interaction between the perceived length and message

sidedness

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4.3 Test of H2: the moderation role of online shopping experiences

H2 predicts that the online shopping experience will moderate the relationship

between the message sidedness and eWOM credibility. For perceived long positive eWOM,

the more online shopping experiences, the stronger the effect of the message sidedness on the

eWOM credibility. Since the H1 was supported, the H2 test based on the significant effects of

message sidedness with long argument was meaningful and could be continued.

The moderation effect was tested by using Process. Before starting the moderation

analysis, the data collected for the message sidedness was standardised to a new variable

ZExp since this independent variable was numerical. The CreditTOT was renamed as Credit because the name CreditTOT was too long to be used in the Process. Similarly, the name of

the variable Argument was also changed to Argu in order to be put into Process analysis.

Argu, as independent variable, was then used together with the ZExp, as moderator, and Credit, as dependent variable, in the moderation analysis.

Table 3. Test of H2: the moderation effect of the online shopping experience

The hypothesised moderation by the online shopping experiences would be supported

if the interaction effect was significant, regardless of whether the main effects were

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C3=-0.70 and is statistically different from zero, t(76)=-3.35, p=0.001. Thus, the effect of

message sidedness on the long positive eWOM credibility depends on consumers’ online

shopping experiences. Moreover, this model accounts for 21% of the variance in the

credibility rated by consumers. A closer inspection of the conditional effects (Table 4)

indicates the relationship between the message sidedness and eWOM credibility as

significant only when consumers are with the high online shopping experience. However, as

it can be seen from probing the interactions, the slope linking the message sidedness and

credibility is of a different direction for all levels of online experiences(Figure 5). When

consumers have medium to the high levels of online shopping experience, the perceived

credibility is higher if the argument is of two-sided than that if of single-side message

sidedness, while when consumers are with low levels of online shopping experience, the

credibility of one-sided message sidedness is higher.

Table 4. Test H2: conditional effects

In other words, while two-sided eWOM credibility is only significantly higher than

that of the one-sided one when the online experience is high, such trend has the same

direction for the consumers with the medium level of online shopping experience and the

opposite direction for those with the low level online shopping experience. That is, when the

online shopping experience increases, the effect of message sidedness on credibility is

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Figure 5. Test of H2: moderation effect of online shopping experiences

5. DISCUSSION

The primary objective of this study was to examine the effects of message sidedness

with different levels of eWOM length and the results were generally consistent with the

predictions. The basic argument of this study that the length of positive eWOMs moderates

the effects of message sidedness (one-sided or two-sided) was supported. In addition to this

argument, the assumption that under long positive eWOM, the online shopping experience

further moderates the affects of the message sidedness is also supported in the analysis. These

findings suggest that the process of the eWOM credibility evaluation process conducted by

online word-of-mouth readers are related to their online shopping experiences, and the way

the eWOM is presented (one-sided or two-sided, long or short). These factors are correlated

with each other and result in different levels of perceived credibility.

The following sections discussed the academic and managerial contributions

combined with the results of the research. Several limitations and the directions for future

research would also be talked after the contributions. 0. 1.25 2.5 3.75 5. 6.25 Single Double Cr ed ib il ity

Online Shopping Experience

Low Medium High

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5.1 Academic contributions

This study contributes to the academic field in several aspects. Firstly, it provides

evidence that the main effect of message sidedness is significant on the positive eWOM

credibility perception, showing when and why the two-sided message is more convincing

than one-sided argument. This result is opposite with the research done by Wee and Lwin

(2006) and Schlosser (2011). The conflicting findings Wee and Lwin (2006) might be

explained by the data collected from different countries where the culture, particularly the

Internet culture is different. The current study only focuses on China and collected data from

average Chinese Internet users by spreading the survey out on the internet, while Wee and

Lwin (2006) have a group of Singapore students as their study target. It is possible that the

fake reviews phenomenon in China Internet environment a more widely known issue and

Chinese are thus more suspicious about the information received online than online shoppers

in Singapore, resulting a more significant effects of message sidedness. The different results

with Schlosser (2011) could be explained by relating another factor studied in that research,

the ratings. In the research of Schlosser (2011), it is stated that affected by the extreme

ratings, the two-sided argument will reduce the perceived reviewers’ abilities to evaluate the

products, which may further decrease the perceived credibility instead of increasing it. Such

effects are caused by the inconsistency involved between the reviewers’ ratings and the

average ratings. However, the current study only focuses on the message sidedness by keeps

the reviewers’ rating factor away by only include single reviews for the product without the

ratings and manipulating the eWOM consistency before the formal experiments. Thus, by

excluding the impact of inconsistency in the manipulation checks and the extremity of

ratings, also with the specific Chinese context, this study reveals an important piece of

understanding the perceived eWOM credibility, the significant effects of the one or two sides

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one. On the other hand, the results are consistent with the research on the two-sided

advertising ((Etgar and Goodwin, 1982; Kamins et al., 1989; Crowley and Hoyer, 1994),

where two-sided message is believed to be of fewer sales motives. The prior studies have put

limited efforts on understanding this content factor due to much time and costs might be

involved (Godes and Mayzlin, 2004) and this study extends the previous studies on two-sided

messages by showing evidence in the eWOM context.

The study further found the correlation of the message sidedness and the length on the

perceived credibility, which was not discussed in the previous research. The two-sided

positive argument is only significant when the eWOM is perceived as long ones, but not

when it is short. This might be explained by that the beliefs that people would normally not

spend much time to purely praise a product without any incentives with the assumption that

long reviews cost more time than short ones (Chatterjee, 2001; Werde, 2003; Abendroth and

Heyman, 2013).

It also proposed and found the evidence that the holding the length consistent, the

online shopping experiences of consumers further moderate the effects of message sidedness

on perceived credibility, which is also limitedly studied before.

5.2 Managerial contributions

The current findings also shed new lights on managerial implications, especially

highlighting the importance to think about the eWOM format when designing the structure of

eWOM for Chinese consumers. With more and more consumers are concerning the

credibility of the online reviews, managers should pay more attention to the presentation of

the eWOM when it is possible for them to control the presentation way, for example, when

sellers designing the reviews function structure on their own websites, or when the

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that with the correlation between the length and message sidedness of the eWOM, the

credibility may be considered low even when the eWOM is created by real users who wish to

contribute their experience and thoughts to the following users to compare and make

decisions about certain products or services, which may lead to the loss of trust from the

online consumer side and decrease the amount of information of adoption (Smith and Vogt,

1995; Wathen and Burkell, 2002). The following purchase decisions might be negatively

affected as well since the perceived credibility level is a strong predictor for these (Cheung et

al., 2009; Smith and Vogt, 1995). Thus, based on the analysis results in hypothesis one (H1),

marketing managers should not simply open the reviews areas for their consumers but guide

their consumers strategically to maximise the credibility perceived by the readers. For

example, they should encourage consumers to leave their comments in a two-sided way,

including both the benefits and drawbacks in their comment. A summary recommendation

conclusion like ‘In sum, I would like to recommend this product’ or ‘In sum, I would not

recommend this product’ should also be included to indicate and clarify past consumers’

likeness and intention to recommend. The third-party platforms like dazhongdianping and

Mtime (Chinese eWOM platforms) should design their eWOM structure in a similar way

with the marketers if they wish to build a positive reputation and attract many users.

Another implication is for managers who decide to select certain eWOMs to be shown

on their websites and conceal others as a method to control the attitudes, or who employ

review writers to leave several comments at the beginning stage to raise the awareness of

their products or services (Dellarocas, 2006; Mayzlin, 2006). The reviews involved should

consider the correlation between the length and message sidedness. If the reviews are long

and only describe the positive features of the products, readers could doubt the source of the

information and attribute them to commercial purposes, resulting in lower credibility

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loss would be felt great than the same amount of gains (Kahneman and Tversky, 1979).

Therefore, consumers usually lack incentives to spend much time to leave long positive

reviews including only how satisfied they are with the products or services online but have

the likelihood to spend time leaving negatives long eWOMs, especially when they are in

negative moods. For short ones, marketers do not need to consider the message sidedness that

much since consumers may think leaving a short review contains limited one-sided

information is common to see when there is no compensation, according to the attribution

theory. Two-sided arguments may reduce the commercial background of reviewers and

enhance the perceived possibility of evidence-based arguments (Wood and Eagly, 1981).

They should also note the role of online shopping experiences for online consumers. If their

target market is a group of people who have much shopping experience with electronic

commerce, they should pay extra attention to the message sidedness and length issues. For

people with less related experience, they do not need to worry about these so much and they

should focus on other factors like gender (Awad and Ragowsky, 2008).

Furthermore, for all the strategies listed above, the perceived consistency of the

eWOM should be tested since it would moderate the credibility as well (Schlosser, 2011).

Also, managers should keep in mind of the different products characteristics (Chen and Xie,

2008; Lin and Fang, 2006). For instance, those arguments are more relevant when the purchase of the products is of high perceived risks, like a considerable amount of money (like

the camera example in the study) or risks of missing important opportunities (for example a

formal tailored suit for an important job interview) (Kahneman and Tversky, 1979).

5.3 Limitations

The present investigation has several limitations. Firstly, by using a non-probability

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not guaranteed since those people excluded from the sample might be different from the

people in the sample. More similar research with more normally distributed sample should be

conducted in the future to further to confirm the representativeness of the research results.

Another shortcoming of this study might be whether this study has measured what is intended

to measure, namely the missing validity check about the induced levels of credibility.

Besides, a larger sample size in the future research will also help to generalise the findings

into a broader field, designing eWOM experiments for multiple products and services. In

addition, in this study, by only measuring the perceived credibility instead of actual

behaviours, common method bias may be caused in the results (Podsakoff et al., 2012). The

self-reported credibility may not reflect the real perceptions (Field, 2013). Those responses

might be affected by factors like social desirability. People knowing the research objective

may also response different than their real thoughts. This could be diminished by requiring

participants to fill in the survey honestly. Although this honesty requirement is written clearly

in the survey introduction, the bias could not be fully avoided. Besides these mentioned

above, another bias may come from the fact that the analysis only came from a single data

source, the data collected from the survey results. It could be reduced if multiple data sources

could be used to the data collection process.

The development of the reviews in the experiments was put great attention and care.

Nevertheless, it still received some negative comments on the design of the reviews like “there is one sentence is not very clear to me” (female, 45), which raised the importance to

develop the reviews based on a larger scale of online review pool and to have it checked by

professional marketing agencies.

This study employed a single review exposure. However, typically, the online review

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exposures, but not at the time immediately after reading the reviews (Engel et al. 1978;

Schiffman and Kanuk, 1978).

The strengths of this research are the multiple independent pre-tests, manipulation

checks and relatively high participants. It should be noted that people included in the

pre-tested and manipulations were excluded in the formal experiments by stating “People who

have helped me with former surveys don’t need to participate this one again. Each person is

only allowed to participate once.” Learning effects were thus reduced to the minimum levels.

Overall, the limitations of this research might be biases caused by the use of

non-probability convenience sample, the sample size was not big enough, the missing of validity

check on induced credibility level, common method bias, self-reported data bias, single data

source, the development of the reviews and the difference between the single review

exposure in this study and the multiple exposure situations in reality.

5.4 Future research directions

For the future research directions, there are some suggestions for those who are

interested in the related topics. Firstly, since this study only focused on message sidedness,

length and online shopping experience, other indicators (e.g. education levels) should be

examined to explore their value in business research. The potential correlation effects with

other factors found in the prior research should be studied as well (Awad and Ragowsky,

2008; Doh and Hwang, 2009; McKnight and Kacmar, 2006; Mackiewic, 2010). Also,

following researchers need to keep in mind that the results may change over time while the

constantly changing Internet situations in China and repeated experiments would be valuable

as well. Secondly, in this study, the reviews collected in this study were only about the same

electronic product, an electronic camera. Those relationships discussed in the study might be

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Xie, 2008; Lin and Fang, 2006). Thus, future research should examine whether the results

concluded from the current analysis could be well generalised to other products by using

various types of products as study objects and compare the results. For example, people may

care less and set lower standards when they are trying to purchase products with lower risks

(Chen and Xie, 2008; Lin and Fang, 2006; Kahneman and Tversky, 1979).

Furthermore, for future researchers, since this study only put interests into China

market. It would be interesting to see if the same situation would exist in other countries. The

situations might be different due to the different levels of online shopping development

stages, the trust levels among strangers caused by the cultural issues and so on. Luo et

al.(2014) examined the effects of individualistic culture on consumers’ information

credibility in their research and found that individualistic culture would moderate the

information sidedness, information consistency and information rating. That is, for highly

individualistic cultures like the Netherlands, two-sided message sidedness could be more

influential on the level of perceived credibility. The perceived credibility evaluation process

for online consumers from countries with a lower individualistic culture like Indonesia may

be affected less heavily by the sidedness of the arguments. Different with the sidedness, the

individualism moderates the information consistency and rating negatively, which means that

the more individualistic people are, the fewer effects on credibility perception of consistency

and ratings will be. Thus, it is highly possible that the effects on the credibility of eWOM

found in the study are affected by the collectivistic culture in China and would be different

with more individualistic cultures. Other cultural issues could be relevant to this topic as

well.

Due to the time limit, this study only focuses on the perceived credibility, without

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