Illuminating and Bridging the Vortex between Tacit and Explicit Knowledge: Counterbalancing Asymmetric Information in High-Value Low-Frequency Transactions
type: CreativeWork
description: Asymmetric information within a transaction can cause a great deal of harm to a buyer or a seller who is not aware of the disparity of the information provided. This research explored the causes of asymmetric information in a high-value low-frequency transaction (HVLFT). Many factors contribute to asymmetric information, and these are especially prevalent in an HVLFT. The two main differentiating characteristics of an HVLFT are the low frequency and the high value associated with this type of transaction. If a transaction has a low frequency, the valuation of the asset becomes harder to ascertain. Because of this low frequency, it is also harder for a buyer or seller to learn from previous experiences. The high value of an asset increases the tension between the seller and the buyer. With conflicting objectives, the seller is not motivated to address asymmetric information. Information that could be relevant to the buyer might not be shared by the seller, because this information could negatively influence the financial gain from the seller’s perspective. These HVLFTs are generalisable to numerous industries, such as marine, jewellery, automotive and real estate. The real estate industry is a prime example of the aforementioned problems and issues. This research addresses the causation of asymmetric information in an HVLFT and provides procedural and technological artefacts to counterbalance asymmetric information in an HVLFT, using the New Zealand real estate industry as an exemplar. This thesis expands on asymmetric information in the context of an HVLFT, through a review of the literature on stakeholders, decision-making, decision support, knowledge, knowledge management and knowledge management systems. The literature review and pilot study led to the creation of four conceptual artefacts to address asymmetry between the buyer and seller and to illuminate asymmetric information in an HVLFT. The artefacts highlighted the interactions between the various stakehold…
abstract: Asymmetric information within a transaction can cause a great deal of harm to a buyer or a seller who is not aware of the disparity of the information provided. This research explored the causes of asymmetric information in a high-value low-frequency transaction (HVLFT). Many factors contribute to asymmetric information, and these are especially prevalent in an HVLFT. The two main differentiating characteristics of an HVLFT are the low frequency and the high value associated with this type of transaction. If a transaction has a low frequency, the valuation of the asset becomes harder to ascertain. Because of this low frequency, it is also harder for a buyer or seller to learn from previous experiences. The high value of an asset increases the tension between the seller and the buyer. With conflicting objectives, the seller is not motivated to address asymmetric information. Information that could be relevant to the buyer might not be shared by the seller, because this information could negatively influence the financial gain from the seller’s perspective. These HVLFTs are generalisable to numerous industries, such as marine, jewellery, automotive and real estate. The real estate industry is a prime example of the aforementioned problems and issues. This research addresses the causation of asymmetric information in an HVLFT and provides procedural and technological artefacts to counterbalance asymmetric information in an HVLFT, using the New Zealand real estate industry as an exemplar. This thesis expands on asymmetric information in the context of an HVLFT, through a review of the literature on stakeholders, decision-making, decision support, knowledge, knowledge management and knowledge management systems. The literature review and pilot study led to the creation of four conceptual artefacts to address asymmetry between the buyer and seller and to illuminate asymmetric information in an HVLFT. The artefacts highlighted the interactions between the various stakehold…
author: Hoksbergen, Mark Geoffrey
license: https://researchspace.auckland.ac.nz/docs/uoa-docs/rights.htm
date published: 2021
date modified: 2026-07-24T01:06:48Z
provider: University of Auckland
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: ResearchSpace@Auckland

PropertyValue
property ID: Handle
value: https://hdl.handle.net/2292/57729