Abstract:

Online users usually imitate each other. This tendency results in herd behavior. This paper presents a theoretical explanation and comparative analysis of online herd behavior from three dimensions including the network externalities, informational cascades and word of mouth. We propose the coping strategies of online users and IT enterprises. Finally, the prospects for future development and suggestions for possible extensions are also discussed.

Key words: Online user, Herd behavior, Network externalities, Informational cascades, Word of mouth