Status Homophily Research Articles

When we unite, not divide: status homophily, group average status, and group performance in the Korean film industry

When we unite, not divide: status homophily, group average status, and group performance in the Korean film industry

How do Status Differentials Affect the Unplanned Dissolution of Alliances?

AbstractPrevious research suggests that firms tend to form alliances with counterparts of similar status. However, it remains unclear whether the principle of status homophily helps or hinders the alliance process. In this study, we contend that status differentials, rather than status similarity, can reduce the likelihood of the unplanned dissolution of an alliance, as a clearer order of status helps to resolve interfirm discrepancies and conflicts during collaborative processes. The results based on a sample of joint ventures in the US computer and telecommunications industries support our arguments. Further, we find that the effect of status differentials on the unplanned dissolution of alliances is strengthened when the high‐status firm performs better than the low‐status firm and when the two firms are from more related industries. Our findings call into question the emphasis on status homophily in the management of alliances following their formation.

How to achieve sustainable buyer-seller relationship in social commerce? The effect of network closure on ties evolution.

The fact that most buyer-seller ties in the social commerce community are easy to form but hard to keep has brought the "social bubble" into social commerce. Following the literature streams of network closure and social commerce and based on the longitudinal dataset of an online social commerce community over a year, this article explores the buyer-seller ties evolution in the social commerce community through two stages, that is, ties emergence versus ties persistence. In this study, the authors build a hazard model and estimate with a semiparametric partial likelihood method. Our results show an asymmetric effect of network closure mechanisms across different stages of buyer-seller ties evolution. In the early stage of buyer-seller ties, due to the information asymmetry, buyers usually rely on informative signals that either reflect the "popular others" (i.e., the popularity and content sharing) or the "ideal self" (i.e., the value homophily and status homophily) to form ties with sellers, which makes the community more "transactional." As very few ties can survive through the periods of 3 months or more, the normative social influence, which relies heavily on the structure of extant relationships among community members, becomes the dominant driver of ties persistence, which makes the community more "social." This study contributes to the ongoing research of network analysis and social commerce. It provides valuable tactics to sellers who want to develop long-term relationships with buyers in the social commerce community.

When We Unite, Not Divide: Status Homophily, Status Group, and Group Pperformance in the Korean Film

This study sheds light on status conflicts as a mechanism behind the negative effect of status homophily on group performance. In a short-term project group without a well-established local status hierarchy, status homophily among group members may cause status conflicts and reduce group performance. However, we argue that the intensity of status conflicts may vary by the average status of group members, that is, status group. A middle-status group, composed of middle-status members on average, focus on both global and local status attainments, so they may suffer less from status conflicts than high- and low-status groups whose members mainly focus on local status attainments. We test our hypotheses in the South Korean film industry from 2004 to 2017. The statistical results suggest that status homophily among actor/actress was negatively correlated with commercial performance, but this negative effect was the weakest for films with middle-status performers.

Guanxi in an age of digitalization: toward assortation and value homophily in new tie-formation

How do people form personal ties? A consensus holds in sociological and social network scholarship that in-person networks are dominated by status homophily and that guanxi networks rely extensively on balance. This article argues that social networking sites (SNSs) reconceptualize the character of homophily and tie-formation altogether in guanxi networks. Drawing on 50 semi-structured interviews with Hong Kong youth from 2017 to 2020, this article examines how the technical capabilities of SNSs and principles of guanxi culture come together to erode status boundaries, create access to larger networks, and cause spillovers of information and tie strength. As a result, the basis of tie-formation in guanxi networks on SNSs shifts from balance to assortation and status homophily to value homophily. In this transformed calculus of tie-formation, two typologies of values rise to the fore: substantive values that reflect opinions and interests, as well as structural values that reflect networkability.

Explaining purchase intent via expressed reasons to follow an influencer, perceived homophily, and perceived authenticity

The influencer trend, where people are often paid by brands to use, talk about and otherwise promote their products on social media has become increasingly popular. This study examines the potential interplay of perceived homophily with, perceived authenticity of an influencer and the reasons people may follow an influencer on subsequent purchase intentions of items the influencer has showcased on their Instagram account. Key findings suggest that the type of perceived homophily one shares with their favorite influencer is linked to the reasons they follow that influencer, and that following an influencer because they are trendy when a person also indicated perceived status homophily (e.g., similarities in size) did lead to increased purchase intent. However, influencers that are followed because they are unique and share morals and values with a follower (i.e., ‘value homophily’) do not encourage purchase intent. We find that an influencer who is perceived as more ‘authentic’ will mediate the relationship between perceptions of homophily and subsequent purchase intent.

Investigating the Effectiveness of Received Offline Word of Mouth: Role of Acquired and Ascribed Homophily

This research examines how similarities in educational and ethnic backgrounds (status homophily), between word of mouth (WOM) participants, influences the effectiveness of received offline WOM on the recipient’s behavioural intentions. The educational similarity between individuals is conceptualized as acquired homophily, whereas ethnic similarity is defined as ascribed homophily. This study employs scenario-based experiments, and the results suggest that positive and negative WOM received from homophilous sources is more effective in influencing the recipient’s purchase and WOM re-transmission intentions than recommendations received from heterophilous sources. This research expands the literature about offline WOM and the multidimensional status-homophily construct by providing insights on the differential influence of positive and negative recommendations received from WOM sources similar or dissimilar to the WOM recipients in terms of their educational and ethnic backgrounds. This is important from both the theoretical and practitioner perspective as the recent focus of scholarly research is on understanding the relationship between online homophily and e-WOM at the expense of offline WOM-homophily relationship.

Multiple Identities in Faith-based Organizations: Exploring Status and Value Homophily in Idealized Partnerships

Research suggests that organizations tend to collaborate with others that share similar ascribed status, but focuses less on the role of value homophily. To advance a fuller understanding of how organizations select partners, this study examines the roles of—and relationship between—status and value homophily in interorganizational collaboration (IOC). Specifically, it examines the influence of value homophily (i.e., similar service, staff, and organizational identity) on three forms of status homophily ( attribute-based, geography-based, and institutional) in nonprofit collaborative aspirations. Survey data from 141 U.S. faith-based organizations (FBOs) revealed the differential impact of organizational and service religiosity on FBOs’ collaboration preferences. Specifically, findings suggest that organizational religiosity makes FBOs more restrictive, but service religiosity makes FBOs less restrictive in ideal partner selection. The results suggest theoretical contributions to communication research on IOC and social networks, as well as implications for navigating multifaceted organizational identities and cross-sector partnerships.

Status Homophily in Negative Strategic Interactions

We examine how firm status determines patent litigation and its consequences for firms. Literature on social status has demonstrated numerous benefits associated with a high-status position and that status transfers through affiliations. Taken together, high-status firms generally engage in transactions with each other rather than with low-status firms. Therefore, we argue that status homophily in firms, i.e. similarity in status, will also occur in patent litigation, i.e. a negative interaction. Consistent with status literature, we argue that uncertainty amplifies the effect of status: uncertainty from the plaintiff side negatively moderates status homophily in patent lawsuits. Research on alleged wrongdoing has demonstrated negative penalties such as decreased evaluations for firms accused of wrongdoing. Moreover, as audiences have a level of uncertainty about the wrongdoing, which the accusers’ status will likely decrease. Thus, we argue that a firm faces financial loss soon after a high-status firm files a patent infringement lawsuit against it. We find support for our hypotheses, suggesting that status homophily has negative outcomes and belonging to an elite group does not protect firms from penalties from audiences.

Homophily and behavior diffusion

There is continuing debate over the effect of homophily, which is the tendency for individuals to socialize with similar people, on behavior diffusion. We aimed to clarify this relationship from a social network perspective, using the agent-based modeling approach. The results demonstrate that homophily promoted the diffusion of behaviors that people had a strong propensity to adopt, but had a prohibitive effect when the adoption propensity was weak. When the adoption propensity was moderate, the effect was promotive at first and then became prohibitive. Moreover, we identified 3 types of homophily—status, value, and mixed (status–value)—and found that mixed homophily was most effective for behavior diffusion, followed by value homophily and then status homophily. These findings highlight the importance of behavior classes and homophily type in the relationship between homophily and behavior diffusion, and call for a serious consideration of both factors when empirically studying the related issues.

Consequences of homophily: does social status similarity enhance project performance?

This study examines the effect of status homophily between a team organizer and a project team on project performance. Due to the Matthew effect, high statuses of the team organizer and project team may lead to better project performance, respectively. However, similar-status association on a project can make it difficult to form an informal hierarchy and therefore cause internal conflict. Thus, status homophily may weaken project performance. We test this idea in the context of the Chinese film industry. The results show that both producer status and artistic team status enhance project performance. However, the joint effect (i.e., status homophily) negatively affects project performance.

Network-Level Correlates of Sexual Risk Among Male Sex Workers in the United States: A Dyadic Analysis.

Male sex workers (MSWs) are at increased risk of HIV infection in the United States. Research is limited on sexual and drug use network characteristics of MSWs. Community-based organization and health center in 2 US Northeast cities. One hundred MSWs completed a behavioral assessment and sexual and drug network inventory. Using dyadic analyses, we assessed whether network characteristics, including sex worker-male client age, race, and HIV status homophily and risk multiplexity (ie, overlap in drug-use and sex networks), were associated with condom use. MSW participants' mean age was 33.6. Two-thirds identified as Black or Latino, 12% identified as heterosexual, and 90% reported recent drug use. Participants reported an average of 5.3 male clients in the past month (SD = 3.4), and having anal sex with 74% of these clients, at a rate of 2.2 times per month (SD = 4.6). Participants reported inconsistent condom use during anal sex with 53% of clients. In multivariable models, inconsistent condom use was more common in relationships with presumed HIV status homophily [odds ratio (OR): 1.25; 95% confidence interval (CI): 1.07 to 1.46] and sexual and drug network multiplexity (OR: 1.19; 95% CI: 1.09 to 1.30); and less common within relationships where the client is older than the MSW participant (OR: 0.83; 95% CI: 0.74 to 0.93). Number of multiplex relationships was positively associated with number of condomless anal sex acts with male clients (incidence rate ratio: 1.35; 95% CI: 1.19 to 1.54). Network characteristics may contribute to disproportionate HIV risk among MSWs. Modeling studies should include network characteristics when simulating HIV transmission, and future HIV interventions should address the role of networks.

Offline Brand Outcomes of Instagram: Do Cognitive Network and Self-congruity Matter?

Manuscript type: Research paper Research aims: This study aims to determine the extent to which consumers’ brand “Follows” are self-congruent due to their cognitive networks or the perception of their social network structure on Instagram. This study also examines if self-congruity results in positive offline brand outcomes when mediated by brand love. Design/Methodology/Approach: A total of 168 valid responses are collected and analysed. SPSS version 21 is used to measure the descriptive statistics and frequencies and the SMART PLS 3.0 is used as the structural model for hypothesis testing. Research findings: Results indicate that social tie strength significantly affects self-congruity while brand love is a significant mediator on the relationship between self-congruity and offline brand outcomes (brand loyalty and WoM). Of the three perceived homophily (attitude homophily, status homophily and morality homophily), findings show that morality homophily is the stronger predictor for social tie strength among consumers and their friends on Instagram. Theoretical implications: This study expands on previous literature by investigating the relationship between cognitive network influence, consumers’ self-congruity with “followed brand” and offline brand outcomes (brand love, brand loyalty and WoM), in the context of Instagram. Practitioner/Policy implications: The findings suggest that in order to target Instagram users that “follow” the brand, these brands must be categorised based on status and moral ties. Marketing intelligence and target market segmentations on Instagram can be performed by using tie-strength. Brands on Instagram should be defined based on customers’ orientation, i.e., by humanising the brand so as to create an emotional bond. Proxy measures of brand love can be used to predict repurchase intention and the likeliness of sharing through WoM. Research limitation/Implication: The homophily and social tie strength are measured based on consumers’ own perceptions with friends on Instagram. The small number of samples used may limit the generalisability of the findings. Keywords: Brand Love, Instagram, Loyalty, Self-congruity, Social Tie Strength, WoM JEL Classification: M31

Point-of-Interest Based Classification of Similar Users by Using Support Vector Machine and Status Homophily

Point-of-Interest Based Classification of Similar Users by Using Support Vector Machine and Status Homophily

Do Similar Brands ‘Like’ Each Other? An Investigation of Homophily Among Brands’ Social Networks on Facebook

The advent of internet and communication technologies enabled marketers of brands to have more ways to communicate with their audience; one of which is connecting with other brands. One of the most popular outlets that allows brands to connect with other brands online is Facebook. Brands on Facebook can establish an official fan page where they can interact with their fans as well as network with other brands’ official Facebook pages through “liking” them. This paper seeks to investigate the “liking” behavior among local and global brands (brand to brand) on Facebook in Saudi Arabia and whether these brands’ “liking” network is based on homophilous relationships. The results showed that both status (e.g., geography and gender), and value (e.g., family ties and religion) homophilous relationships are in play. However, value homophily was a strong factor in brands’ network in Saudi Arabia for some brands in the absence of status homophily network. Although status homophily in general played a role, geographical proximity was not a strong factor compared to previous reports on social network analysis. The data for this study were obtained from 40 brands marketed in Saudi Arabia. Using Netvizz and Gephi, network structures were mapped to explore the relationships among the brand’s’ Facebook pages.

Counteracting Status Homophily (Heterophily): Microlevel Mechanisms in an Online Peer-to-Peer Market

The tendency to transact with similar or higher status actors is well documented. While previous work emphasized resource and coordination needs that counteract this tendency, this article looks at how actors may counteract it due to their performance rating considerations. Anxieties over performance rating may drive actors’ rating shopping behaviors and their strategies of exchange partner selection. I test this rating shopping mechanism in the context of a peer-to-peer marketplace where ratings are cornerstones of these marketplaces. The analysis of a proprietary dataset of a home swap platform shows that among higher-status prospective counterplayers, the focal actor will choose status-homophilous ones as exchange partners (“status homophily”) for the fear that they themselves will be devaluated by even-higher-status counterplayers; in contrast, among lower-status prospective counterplayers, the focal actor will choose status-heterophilous ones as exchange partners (“status heterophily”) for the speculation that even-lower-status actors can be easily impressed and thus provide desired positive ratings. Furthermore, when the focal actor experiences a decrease in ratings, to garner desired ratings, the tendency to exchange with lower-status counterplayers is even stronger. This study contributes to theories of status homophily (heterophily) and advances the literature on rating and commensuration.

Incorporating Social Networks in Business Relationships of Retail SMEs for Better Business Performance

The presence of hypermarkets with modern retail format has impacted the performance of retail small medium-enterprises (SMEs) in Malaysia. The challenges of remaining competitive and the ability to sustain the business have pushed many retail SMEs to cease operations within a short period after commencement. Despite these challenges, retail SMEs can still attain competitive advantage through the strategies of strengthening and maintaining business relationships with their social networks. This study postulates that fostering social networks, specifically on the notion of homophily or similarities among social network members, is able to lure valuable resources needed by retail SMEs in achieving superior business performance. Unfortunately, only few studies have focused on social networks from within the Asian context and many tend to overlook the importance of social networks specifically in retailing. This study also suggests the relationship between value and status similarities of retail SMEs and their ability to coordinate efforts in horizontal relationships. Therefore, this study extends the discussion on the role of social networks towards better business performance of retail SMEs in Malaysia by conceptualizing a framework indicating the importance of value and status homophily on coordination of activities leading to business performance of retail SMEs.

Voter and Political Candidate’s Status Homophile: A Ghanaian Context

The diversity of today’s voters and political candidates demographic characteristics calls for the application of the homophily principle in understanding voters behavior. This paper evaluated the effect of ethnic, gender, religious and age homophily on status homophily, which is contextualized within the Ghanaian context. The findings established that amongst the factors affecting status homophily; ethnic homophily is the most influential factor, followed by gender homophily and age homophily, with religious homophily having the least effect. The findings established that voter preference for candidates during elections draws on ethnic lines and dissipate the established perception that religion is a major influential factor in voter preference for candidates. Taken together, this work highlights the importance of status homophily in political marketing research and practice and the opportunities for future research. It recommended that political marketers should develop and apply market orientation, marketing intelligence and demographic segmentation as well as develop positioning strategies using political brand personalities and brand ambassadors based on voters’ demographic preferences for candidates.

Conflict Effects of Homophilies on Knowledge Diffusion between Acquiring and Target Firms

Using transaction cost and information asymmetry as theoretical lenses, this study examines the influence of origin, status, and knowledge homophily (i.e. a preference for similar others) among inventors on knowledge diffusion between acquiring and target firms after an acquisition. Given that the range of knowledge diffusion is highly limited to immediate collaborators, this research uses cross-collaboration, which refers to a co-work between inventors from acquiring firm and those from target firm, as a knowledge diffusion mechanism between acquiring and target firms. After an analysis of an intra-firm collaboration networks of 319 inventors from Pfizer Inc. and Warner-Lambert Co., I find that origin homophily discourages knowledge diffusion across organizations. Moreover, contrary to what one might have expected, status homophily among lower-status inventors encourages knowledge diffusion between organizations. Despite low transaction costs and information asymmetry, high-status inventors are less like...

Endogenous association in contests with inequality effects of status

A population of agents is stratified in a two-layer status hierarchy, and they form couples to participate in contests to win a prize (of recognition). Partners in a couple can have equal or different status, they compete together against all the other couples, and possibly also between them to appropriate the prize. Status differences generate inequalities due to an external bias in evaluation of the contestants -- the Matthew effect -- and to a bias internal to the couple due to the asymmetry of power when dividing the prize -- the power effect. We relate agents' equilibrium investments to win the contest and their efforts to appropriate the prize to the number of contestants and to the distribution of status among them, further revealing the endogenous formation of homophilous and heterophilous associations. Our analysis reveals that the differences in status are only reflected in the agents' strategic behavior and not in the outcome of the contest (among the couples) and in the allocation of the prize (within the couple). Moreover, the status homophily principle holds true only in small populations where status is concentrated among few agents.