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Description
Mobile applications (Apps) markets with App stores have introduced a new approach to define and sell software applications with access to a large body of heterogeneous consumer population. Several distinctive features of mobile App store markets including – (a) highly heterogeneous consumer preferences and values, (b) high consumer cognitive burden

Mobile applications (Apps) markets with App stores have introduced a new approach to define and sell software applications with access to a large body of heterogeneous consumer population. Several distinctive features of mobile App store markets including – (a) highly heterogeneous consumer preferences and values, (b) high consumer cognitive burden of searching a large selection of similar Apps, and (c) continuously updateable product features and price – present a unique opportunity for IS researchers to investigate theoretically motivated research questions in this area. The aim of this dissertation research is to investigate the key determinants of mobile Apps success in App store markets. The dissertation is organized into three distinct and related studies. First, using the key tenets of product portfolio management theory and theory of economies of scope, this study empirically investigates how sellers’ App portfolio strategies are associated with sales performance over time. Second, the sale performance impacts of App product cues, generated from App product descriptions and offered from market formats, are examined using the theories of market signaling and cue utilization. Third, the role of App updates in stimulating consumer demands in the presence of strong ranking effects is appraised. The findings of this dissertation work highlight the impacts of sellers’ App assortment, strategic product description formulation, and long-term App management with price/feature updates on success in App market. The dissertation studies make key contributions to the IS literature by highlighting three key managerially and theoretically important findings related to mobile Apps: (1) diversification across selling categories is a key driver of high survival probability in the top charts, (2) product cues strategically presented in the descriptions have complementary relationships with market cues in influencing App sales, and (3) continuous quality improvements have long-term effects on App success in the presence of strong ranking effects.
ContributorsLee, Gun Woong (Author) / Santanam, Raghu (Thesis advisor) / Gu, Bin (Committee member) / Park, Sungho (Committee member) / Arizona State University (Publisher)
Created2015
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Description
The recent changes in the software markets gave users an unprecedented number

of alternatives for any given task. In such a competitive environment, it is imperative

to understand what drives user behavior. To that end, the research presented in

this dissertation, tries to uncover the impact of business strategies often used in the

software

The recent changes in the software markets gave users an unprecedented number

of alternatives for any given task. In such a competitive environment, it is imperative

to understand what drives user behavior. To that end, the research presented in

this dissertation, tries to uncover the impact of business strategies often used in the

software markets.

The dissertation is organized into three distinct studies into user choice and post

choice use of software. First using social judgment theory as foundation, zero price

strategies effects on user choice is investigated, with respect to product features,

consumer characteristics, and context effects. Second, role of social features in

moderating network effects on user choice is studied. And finally, the role of social

features on the effectiveness of add-on content strategy on continued user engagement

is investigated.

The findings of this dissertation highlight the alignments between popular business

strategies and broad software context. The dissertation contributes to the litera-

ture by uncovering hitherto overlooked complementarities between business strategy

and product features: (1) zero price strategy enhances utilitarian features but not

non-utilitarian features in software choice, (2) social features only enhance network

externalities but not social influence in user choice, (3) social features enhance the

effect of add-on content strategy in extending software engagement.
ContributorsKanat, Irfan (Author) / Santanam, Raghu (Thesis advisor) / Vinze, Ajay (Thesis advisor) / Gu, Bin (Committee member) / Arizona State University (Publisher)
Created2016