Idea Rejected, Tie Formed: Organizations’ Feedback on Crowdsourced Ideas

When organizations crowdsource ideas, they select only a small share of the ideas that contributors submit for implementation. If a contributor submits an idea to an organization for the first time (i.e., newcomer), and the organization does not select the idea, this may negatively affect the newcomer’s relationship with the organization and willingness to submit ideas to the organization in the future. We suggest that organizations can increase newcomers’ willingness to submit further ideas by providing a thus far understudied form of feedback: rejections. Though counterintuitive, we suggest that rejections encourage newcomers to bond with an organization. Rejections signal contributors that an organization is interested in both receiving their ideas and developing relationships with them. To test our theory, we examine the crowdsourcing of 70,159 organizations that receive ideas from 1,336,154 contributors. Using text analysis, we examine differences in how rejections are written to disentangle the mech...

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