Professor Saša Pekeč says rating users allows on-demand platforms to be more efficient
In some on-demand services, reviews go both ways. Take a ride-hailing platform: Users can rate drivers who provide an unsatisfactory service with less than five stars, and drivers can also give a lower rating to users who showed up late at the meeting point.
“User ratings of goods and services have been fundamental to the functioning of e-commerce,” said Professor Saša Pekeč of Duke University’s Fuqua School of Business.“ But in platform settings, there is also an economic reason for service providers rating users.”
[This article has been reproduced with permission from Duke University's Fuqua School of Business. This piece originally appeared on Duke Fuqua Insights]