Fad-like Technology Adoption as a Social Action

When technology adoption takes on fad-like characteristics, large swings in demand and expectations for the technology result. Companies can see revenues skyrocket, only to fall just as fast without understanding the dynamics of the consumer adoption decision process. In this paper, we present a model for fad-like technology adoption built upon Rogers' technology adoption lifecycle, to which we add the theory of information cascades and adopter thresholds. Adopter behaviour in each stage of the lifecycle may be individualistic or holistic, as suggested by the theories of Watkins and Durkheim. Macro product and micro adopting user level case analyses of the adoption of the Apple iPhoneTM illustrate the application of the model and the individual and holistic social actions of fad-like technology adoption. The paper closes with advice for consumer technology companies and a call for further study of industry and consumer factors that complicate the interpretation and prediction of adoption lifecycle activity.

[1]  Bernd H. Schmitt,et al.  How Does Perceived Firm Innovativeness Affect the Consumer? , 2010 .

[2]  Danny Miller,et al.  Spotting management fads. , 2002, Harvard business review.

[3]  Eric Walden,et al.  Consumer Behavior in the Adoption of Peer-to-Peer Technologies: An Empirical Examination of Information Cascades and Network Externalities , 2003, AMCIS.

[4]  J. Watkins,et al.  HISTORICAL EXPLANATION IN THE SOCIAL SCIENCES* , 1957, The British Journal for the Philosophy of Science.

[5]  Hairong Li,et al.  The Effect of Agency Creativity on Campaign Outcomes: The Moderating Role of Market Conditions , 2008 .

[6]  Richard Baskerville,et al.  Fashion Waves in Information Systems Research and Practice , 2009, MIS Q..

[7]  Ping Wang,et al.  Research Directions in Information Systems: Toward an Institutional Ecology , 2008, J. Assoc. Inf. Syst..

[8]  Eric Abrahamson,et al.  WHEN DO BANDWAGON DIFFUSIONS ROLL? HOW FAR DO THEY GO? AND WHEN DO THEY ROLL BACKWARDS?: A COMPUTER SIMULATION. , 1990 .

[9]  Izak Benbasat,et al.  Predicting Intention to Adopt Interorganizational Linkages: An Institutional Perspective , 2003, MIS Q..

[10]  J. Höglund,et al.  Copying and sexual selection. , 1992, Trends in ecology & evolution.

[11]  Ping Wang,et al.  Community Learning in Information Technology Innovation , 2009, MIS Q..

[12]  Glenn J. Browne,et al.  Sequential Adoption Theory: A Theory for Understanding Herding Behavior in Early Adoption of Novel Technologies , 2009, J. Assoc. Inf. Syst..

[13]  Douglas Gale,et al.  Bayesian learning in social networks , 2003, Games Econ. Behav..

[14]  Jaihak Chung,et al.  Investigating the roles of online buzz for new product diffusion and its cross-country dynamics , 2011 .

[15]  Seung-Pyo Jun,et al.  A comparative study of hype cycles among actors within the socio-technical system: With a focus on the case study of hybrid cars , 2012 .

[16]  Lori Rosenkopf,et al.  Social Network Effects on the Extent of Innovation Diffusion: A Computer Simulation , 1997 .

[17]  Lars Mathiassen,et al.  Early Adoption of Mobile Devices: A Social Network Perspective , 2010 .

[18]  Maurice Landry,et al.  Can the field of MIS be disciplined? , 1989, CACM.

[19]  Robert J. Kauffman,et al.  Strategic Contributions of Information Technology: An Empirical Study of Atm Networks , 1988, ICIS.

[20]  H. Kincaid Reduction, Explanation, and Individualism , 1986, Philosophy of Science.

[21]  Ping Wang,et al.  Chasing the Hottest IT: Effects of Information Technology Fashion on Organizations , 2010, MIS Q..

[22]  Martin Hollis,et al.  The philosophy of social science : an introduction , 1994 .

[23]  Glenn J. Browne,et al.  Information Cascades in the Adoption of New Technology , 2002, ICIS.

[24]  Eric Abrahamson Managerial Fads and Fashions: The Diffusion and Rejection of Innovations , 1991 .

[25]  Oscar Peters,et al.  A Social Cognitive Perspective on Mobile Communication Technology Use and Adoption , 2009 .

[26]  T. Valente Social network thresholds in the diffusion of innovations , 1996 .

[27]  Nikhilesh Dholakia,et al.  Social behavior and brand devotion among iPhone innovators , 2010, Int. J. Inf. Manag..

[28]  E. Rogers,et al.  Diffusion of innovations , 1964, Encyclopedia of Sport Management.

[29]  Robert G. Fichman,et al.  Going Beyond the Dominant Paradigm for Information Technology Innovation Research: Emerging Concepts and Methods , 2004, J. Assoc. Inf. Syst..

[30]  Jing Wang,et al.  Swarm Intelligence in Cellular Robotic Systems , 1993 .

[31]  Cecil Usher,et al.  Instincts of the Herd in Peace and War , 1953, Nature.

[32]  Jacky Swan,et al.  A knowledge‐focused perspective on the diffusion and adoption of complex information technologies: the BPR example , 2000, Inf. Syst. J..

[33]  Shirley Gregor,et al.  The Anatomy of a Design Theory , 2007, J. Assoc. Inf. Syst..

[34]  S. Bikhchandani,et al.  You have printed the following article : A Theory of Fads , Fashion , Custom , and Cultural Change as Informational Cascades , 2007 .

[35]  L. Zhan,et al.  Understanding luxury consumption in China: Consumer perceptions of best-known brands , 2012 .

[36]  Jonas Hedman,et al.  The adoption of hyped technologies: a qualitative study , 2010, Inf. Technol. Manag..