User reviews of products on store websites are an example of:
A)signaling.
B)building a reputation.
C)a solution to information asymmetry.
D)All of these statements are true.

Question

Quizplus · Accepted Answer

User reviews on store websites serve as a signaling mechanism by providing information about the quality of a product. They also contribute to building a reputation for the product and the store. Furthermore, they serve as a solution to information asymmetry by providing customers with information that they may not have access to otherwise. Therefore, all the given statements are true.

User Reviews of Products on Store Websites Are an Example