Framework

Reputation Cooperation Conditions

TL;DR

When designing or evaluating any reputation system - marketplaces, review platforms, professional networks, or internal trust systems.

Framework identifying the four conditions that must hold for reputation systems to create stable tit-for-tat cooperation, derived from both vampire bat biology and eBay's marketplace success.

When to Use Reputation Cooperation Conditions

When designing or evaluating any reputation system - marketplaces, review platforms, professional networks, or internal trust systems. Use to diagnose why reputation systems fail or succeed.

How to Apply

1

Make Future Interactions Valuable

Future value of maintaining good reputation must exceed present gain from cheating

Questions to Ask

  • Would a user sacrifice years of reputation-building for one fraudulent transaction?
  • Does the platform provide enough ongoing value to make return worthwhile?

Outputs

  • Calculated ratio of future opportunity value to one-time cheating gain
2

Make Memory Public and Permanent

Reputation information must be easily accessible to all potential partners and cannot be erased

Questions to Ask

  • Can potential partners easily access complete behavioral history?
  • Can users delete or hide negative feedback?

Outputs

  • Assessment of memory accessibility and permanence
3

Make Reputation Costly to Rebuild

Starting fresh must be harder than maintaining honesty - preventing cheaters from simply creating new identities

Questions to Ask

  • How much time/investment required to build trusted reputation?
  • What verification prevents easy account recreation?

Outputs

  • Calculated cost of reputation rebuilding vs. honest behavior
4

Make Cheating Detection Likely

High probability that cheating gets detected and recorded, making reputational cost predictable

Questions to Ask

  • What percentage of victims leave negative feedback?
  • Can cheaters game detection systems?

Outputs

  • Detection probability rate and gaming vulnerability assessment

Reputation Cooperation Conditions Appears in 1 Chapters

Framework introduced in this chapter

Related Mechanisms for Reputation Cooperation Conditions

Related Companies for Reputation Cooperation Conditions

Related Research for Reputation Cooperation Conditions