Exit, Tweets and Loyalty

Abstract

Hirschman's Exit, Voice, and Loyalty highlights the role of "voice" in disciplining firms for low quality.We develop a formal model of voice as a relational contact between firms and consumers and show that voice is more likely to emerge in concentrated markets.We test this model using data on tweets to major U.S. airlines.We find that tweet volume increases when qualitymeasured by on-time performance -deteriorates, especially when the airline operates a large share of the flights in a market.We also find that airlines are more likely to respond to tweets from consumers in such markets.

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 21 citations exist upstream.

Papers that cite the same references — the relational fallback while embeddings are still backfilling.