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March–April 2020
Article

Building A Culture of Experimentation

By: Stefan Thomke

Why don’t organizations test more? After examining this question for several years, I can tell you that the central reason is culture. As companies try to scale up their experimentation capacity, they often find that the obstacles are not tools and technology but... View Details

Keywords: Experimentation; Culture; Innovation; Online; Customer Experience; Organizational Culture; Innovation and Invention; Internet and the Web; Attitudes; Decision Making; Change; Leadership

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February 2020 (Revised April 2021)
Case

StockX: The Stock Market of Things

By: Chiara Farronato, John J. Horton, Annelena Lobb and Julia Kelley

Founded in 2015 by Dan Gilbert, Josh Luber, and Greg Schwartz, StockX was an online platform where users could buy and sell unworn luxury and limited-edition sneakers. Sneaker resale prices often fluctuated over time based on supply and demand, creating a robust... View Details

2020
Book

Experimentation Works: The Surprising Power of Business Experiments

By: Stefan Thomke

Don’t fly blind. See how the power of experiments works for you. When it comes to improving customer experiences, trying out new business models, or developing new products, even the most experienced managers often get it wrong. They discover that intuition,... View Details

Keywords: Experimentation; Experiments; Market Research; Innovation and Invention; Innovation and Management; Customers; Research

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December 2019
Article

The Impact of Increasing Search Frictions on Online Shopping Behavior: Evidence from a Field Experiment

By: Donald Ngwe, Kris J. Ferreira and Thales Teixeira

Many online stores are designed such that shoppers can easily access any available discounted products. We propose that deliberately increasing search frictions by placing small obstacles to locating discounted items can improve online retailers’ margins and even... View Details

Keywords: Online Retailing; Friction; Effor; Search Costs; Price Discrimination; Marketing; Consumer Behavior; Strategy; Price; E-commerce; Retail Industry; Fashion Industry

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2019
Book

Operations in an Omnichannel World

By: Santiago Gallino and Antonio Moreno

The world of retailing has changed dramatically in the past decade. Sales originating at online channels have been steadily increasing, and even for sales transacted at brick-and-mortar channels, a much larger fraction of sales is affected by online channels in... View Details

Keywords: Omnichannel; Omnichannel Retail; Retail; Operations; Management; Supply Chain Management; Business Model; Organizational Change and Adaptation

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2019
Working Paper

Real Exchange Rate Behavior: New Evidence from Matched Retail Goods

By: Alberto Cavallo, Brent Neiman and Roberto Rigobon

We use a dataset containing daily prices for thousands of matched retail products in nine countries to study tradable-goods real exchange rates. Prices were collected from the websites of large multi-channel retailers and then carefully matched into narrowly-deﬁned... View Details

Keywords: Purchasing Power Parity; Online Prices; Real Exchange Rate; Macroeconomics; Currency Exchange Rate; Price; Internet and the Web

September 2019
Article

The Persistence of Broadband User Behavior: Implications for Universal Service and Competition Policy

By: Andre Boik, Shane Greenstein and Jeffrey Prince

In several markets, firms compete not for consumer expenditure but consumer attention. We examine user priorities over the allocation of their time, and interpret that behavior in light of salient tensions in policy discussions over universal service, data caps, and... View Details

Keywords: Broadband Service; Attention Allocation; Consumer Behavior; Household; Internet and the Web; Competition; Policy

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August 2019 (Revised February 2020)
Teaching Note

Sidewalk Labs: Privacy in a City Built from the Internet Up

By: Leslie John and Mitch Weiss

Email mking@hbs.edu for a courtesy copy.

The case serves as a microcosm of issues of digital privacy: the availability of data – personal data in particular – has tremendous potential to improve people’s lives... View Details

Keywords: Privacy; Privacy By Design; Privacy Regulation; Platforms; Data; Data Security; Behavioral Science; Analytics and Data Science; Safety; Entrepreneurship; Business and Government Relations; Consumer Behavior; Digital Platforms

2019
Working Paper

The Impact of Professionals' Contributions to Online Knowledge Communities on Their Workplace Knowledge Work

By: Hila Lifshitz - Assaf and Frank Nagle

Knowledge work is becoming increasingly challenging as pace of change in the knowledge frontier is increasing. Organizations have created multiple mechanisms to minimize knowledge gaps and increase learning such internal training, mentorship programs as well as... View Details

Keywords: Open Source; Future Of Work; Software Development; Knowledge Work; Online Community; Learning; Knowledge Sharing; Applications and Software; Open Source Distribution; Performance Productivity

Article

Effect of Different Financial Incentive Structures on Promoting Physical Activity Among Adults: A Randomized Clinical Trial

By: Chethan Bachireddy, Andrew Joung, Leslie K. John, Francesca Gino, Bradford Tuckfield, Luca Foschini and Katherine L. Milkman

Importance: Few adults engage in recommended levels of physical activity. Financial incentives can promote physical activity, but little is known about how their structure influences their effectiveness; for example, whether incentives are more effective if they are... View Details

Keywords: Physical Activity; Financial Incentives; Motivation and Incentives; Money

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August 2019
Article

When and How to Diversify—A Multicategory Utility Model for Personalized Content Recommendation

By: Yicheng Song, Nachiketa Sahoo and Elie Ofek

Sometimes we desire change, a break from the same or an opportunity to fulfill different aspects of our needs. Noting that consumers seek variety, several approaches have been developed to diversify items recommended by personalized recommender systems. However,... View Details

Keywords: Recommender Systems; Personalization; Recommendation Diversity; Variety Seeking; Collaborative Filtering; Consumer Utility Models; Digital Media; Clickstream Analysis; Learning-to-rank; Consumer Behavior; Media; Customization and Personalization; Strategy; Mathematical Methods

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2019
Working Paper

The Effect of Payment Choices on Online Retail: Evidence from the 2016 Indian Demonetization

By: Chaithanya Bandi, Antonio Moreno, Donald Ngwe and Zhiji Xu

The Indian banknote demonetization in 2016 was one of the most significant international events of that year. Overnight, 86% of Indian currency in circulation was declared invalid unless exchanged for new bills. The sudden and unexpected demonetization constituted a... View Details

Keywords: Cash On Delivery; Online Retail; Product Returns; Payment Methods; Digitization; Emerging Markets; Currency; Internet and the Web; Demand and Consumers; Retail Industry; India

2019
Working Paper

The Impact of Increasing Search Frictions on Online Shopping Behavior: Evidence from a Field Experiment

By: Donald Ngwe, Kris J. Ferreira and Thales Teixeira

Many online stores are designed such that shoppers can easily access any available discounted products. We propose that deliberately increasing search frictions by placing small obstacles to locating discounted items can improve online retailers’ margins and even... View Details

Keywords: E-commerce; Online Retailing; Friction; Effor; Search Costs; Price Discrimination; Consumer Behavior; Price; Search Technology

January–February 2019
Article

Why Some Platforms Thrive and Others Don't

By: Feng Zhu and Marco Iansiti

In the digital economy, scale is no guarantee of continued success. After all, the same factors that help an online platform expand quickly—such as the low cost of adding new customers—work for challengers too. What, then, allows platforms to fight off rivals and grow... View Details

Keywords: Digital Platforms; Competition; Network Effects; Competitive Strategy

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November 2018
Case

Sportradar (A): From Data to Storytelling

By: Ramon Casadesus-Masanell, Karen Elterman and Oliver Gassmann

In 2013, the Swiss sports data company Sportradar debated whether to expand from its core business of data provision to bookmakers into sports media products. Sports data was becoming a commodity, and in the future, sports leagues might reduce their dependence on... View Details

October 2018 (Revised July 2019)
Case

Sidewalk Labs: Privacy in a City Built from the Internet Up

By: Leslie K. John, Mitchell Weiss and Julia Kelley

Email mking@hbs.edu for a courtesy copy.

By the time Dan Doctoroff, CEO of Sidewalk Labs, began hosting a Reddit “Ask Me Anything” session in January 2018, he had only nine months remaining to convince the people... View Details

2018
Working Paper

Need for Speed: The Impact of Website Performance on Online Retail

By: Santiago Gallino, Nil Karacaoglu and Antonio Moreno

The share of e-commerce sales is rapidly increasing and so are the associated losses generated by website outages and slow websites. We leverage novel retail and website performance data to investigate the impact of website performance on online sales. This question is... View Details

Keywords: Online Retail; Quasi-experiments; Abandonment; Synthetic Control; Internet and the Web; Performance; Service Operations

October 2018
Article

The Operational Value of Social Media Information

By: Ruomeng Cui, Santiago Gallino, Antonio Moreno and Dennis J. Zhang

While the value of using social media information has been established in multiple business contexts, the field of operations and supply chain management have not yet explored the possibilities it offers in improving firms' operational decisions. This study attempts to... View Details

Keywords: Machine Learning; Information; Sales; Forecasting and Prediction; Social Media

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2020
Working Paper

Machine Learning for Pattern Discovery in Management Research

By: Prithwiraj Choudhury

Supervised machine learning (ML) methods are a powerful toolkit for discovering robust patterns in quantitative data. The patterns identified by ML could be used as an observation for further inductive or abductive research, but should not be treated as the result of a... View Details

Keywords: Machine Learning; Theory Building; Induction; Decision Trees; Random Forests; K-nearest Neighbors; Neural Network; P-hacking; Analytics and Data Science; Analysis

2018
Working Paper

Opportunistic Returns and Dynamic Pricing: Empirical Evidence from Online Retailing in Emerging Markets

By: Chaithanya Bandi, Antonio Moreno, Donald Ngwe and Zhiji Xu

We investigate how dynamic pricing can lead to more product returns in the online retail industry. Using detailed sales data of more than two million transactions from the Indian online retail market, where price promotions are very common, we document two types of... View Details

Keywords: Cash On Delivery; Dynamic Pricing; Online Retail; Payment Methods; Strategic Customer Behavior; Opportunistic Returns; Price; Policy; Consumer Behavior; Emerging Markets; Retail Industry

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