Skip to main content
Log in

Web-Based Reputation Management Systems: Problems and Suggested Solutions

  • Published:
Electronic Commerce Research Aims and scope Submit manuscript

Abstract

Individuals who use the World Wide Web (WWW) to purchase goods and obtain information face a high level of uncertainty as to the quality of those goods and information. Reputation management systems are one way in which information about past transactions can be used to form judgments regarding the quality of goods and information obtained via the WWW. This paper examines current approaches used in reputation management systems and outlines six main problems with them. The paper suggests how these problems can be solved and develops an equation that can handle many of the problems. Implications for practitioners and researchers are discussed.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Akerlof, G.A. (1970). “The Market for 'Lemons': Quality Uncertainty and the Market Mechanism.” Quarterly Journal of Economics 84, 488–500.

    Google Scholar 

  • Avery, C. and R. Zeckhauser. (1997). “Recommender systems for evaluating computer messages.” Communications of the ACM 40(3), 88–89.

    Google Scholar 

  • Bromley, D.B. (1993). Reputation, Image, and Impression Management. West Sussex, England: John Wiley & Sons.

    Google Scholar 

  • Emler, N. (1990). A Social Psychology of Reputation. In W. Stroebe and M. Hewstone (eds.), European Review of Sociology. New York: Academic Press, pp. 173–237.

    Google Scholar 

  • Fudenberg, D. and J. Tirole. (1991). Game Theory. Cambridge: MIT Press.

    Google Scholar 

  • Glasner, J. (1999). “EBay Rival Wants Its Ratings.” WiredNews.

  • Goldberg, D. et al. (1992). “Using collaborative filtering to weave an information tapestry.” Communications of the ACM 35(12), 61–70.

    Google Scholar 

  • Houser, D. and J. Wooders. (2000), Reputation in Internet Auctions: Theory and Evidence from eBay. University of Arizona.

  • Klein, D.B. (1997). “Trust for Hire: Voluntary Remedies for Quality and Safety.” In D.B. Klein (ed.), Reputation: Studies in the Voluntary Elicitation of Good Conduct. Ann Arbor: The University of Michigan Press, pp. 97–133.

    Google Scholar 

  • Kollock, P. (1999). “The Production of Trust in Online Markets.” In E.J. Lawler et al. (eds.), Advances in Group Processes. Greenwich, CT: JAI Press.

    Google Scholar 

  • Landon, S. and C.E. Smith. (1997). “The Use of Quality and Reputation Indicators by Consumers: The Case of Bordeaux Wine.” Journal of Consumer Policy 20, 289–323.

    Google Scholar 

  • Leuthesser, L. (1988). “Defining, measuring and managing brand equity.” In Conference Summary Report No. 88–104. Cambridge, MA: Marketing Science Institute.

    Google Scholar 

  • Malaga, R.A. (2000). “A Reputation Based Pricing Model for Online Auctions: An Empirical Examination.” Working Paper. University of Maryland, Baltimore County, Baltimore.

    Google Scholar 

  • Merry, S.E. (1997). “Rethinking Gossip and Scandal.” In D.B. Klein (ed.), Reputation: Studies in the Voluntary Elicitation of Good Conduct. Ann Arbor: University of Michigan Press, pp. 470–474.

    Google Scholar 

  • Nielsen, J. (1998). “The Reputation Manager.” February 8, 1998. http://www.useit.com/alertbox/980208.html.

  • Resnick, P. and H. Varian. (1997). “Recommender Systems.” Communications of the ACM 40(3), 56–58.

    Google Scholar 

  • Smith, A. (1978). “Lecture on the Influence of Commerce on Manners.” In R.L. Meek, D.D. Raphael, and P.G. Stein (eds.), Jurisprudence. Oxford: Oxford University Press, pp. 538–541.

    Google Scholar 

  • Theus, K.T. (1993). “Academic Reputations: The Process of Formation and Decay.” Public Relations Review 19(3), 277–292.

    Google Scholar 

  • Tullock, G. (1997). “Adam Smith and the Prisoners' Dilemma.” In D.B. Klein (ed.), Reputation: Studies in the Voluntary Elicitation of Good Conduct. Ann Arbor: University of Michigan Press, pp. 21–28.

    Google Scholar 

  • Wilson, R. (1985). “Reputations in Games and Markets.” In A. Roth (ed.), Game Theoretic Models of Bargaining. Cambridge: Cambridge University Press, pp. 27–62.

    Google Scholar 

  • Yoon, E., H. Guffey, and V. Kijewski. (1993). “The Effects of Information and Company Reputation on Intentions to Buy a Business Service.” Journal of Business Research 27(3), 215–228.

    Google Scholar 

  • Zacharia, G., A. Moukas, and P. Maes. (1999). “Collaborative Reputation Mechanisms in Electronic Marketplaces.” In 32nd Hawaii International Conference on System Sciences. Maui, HI: IEEE Computer Society.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and permissions

About this article

Cite this article

Malaga, R.A. Web-Based Reputation Management Systems: Problems and Suggested Solutions. Electronic Commerce Research 1, 403–417 (2001). https://doi.org/10.1023/A:1011557319152

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1023/A:1011557319152

Navigation