Assessing the impact of negative WOM on diffusion process

The diffusion process has been considered as the propagation of messages associated with new ideas that lead to innovations; be it products, processes, or technology. With the anticipation of the change in receptor behavior, this diffusion process tends to bring out the adoption of the innovation. Most of the literature on innovation diffusion modeling is based on market growth however, very less work is available that focuses on how a new product penetrates a market under the effect of attrition on its growth. The intended purpose here is to study the dynamic behind the growth of an innovative product. The impact that past adopters of an innovation exercise on potential adopters by convincing them to imitate them in their choice to accept/reject the advancement (communication impact, impersonation impact), assists in explaining the acceleration of the diffusion process. With this objective, we have formulated and investigated an innovation diffusion model to include both adoption and disadoption behavior. The proposed framework has been validated and empirically analyzed on three real sales data sets.