The "Non-Musk" effect at X (Twitter)

Dmitry Zinoviev, Arkapravo Sarkar, Pelin Bicen

Abstract: Elon Musk, a notable entrepreneur, often influences Wall Street with his controversial social media presence. Drawing on Social Identity and Social Influence Theories, this study explores the “Musk Effect,” specifically how Musk’s acquisition of Twitter impacts other entrepreneurs’ social media activities. Analyzing 4 million tweets from 36,828 entrepreneurs across seven English-speaking countries (US, Australia, New Zealand, UK, Canada, South Africa, and Ireland) over 56 weeks, the study captures the period from the rumors of Musk’s Twitter purchase to its completion. Findings reveal that only about 2% of these entrepreneurs significantly altered their tweeting behavior, suggesting that the direct influence of Musk’s actions on entrepreneurs’ social media activity may be limited, despite his high-profile status. This research is among the first to investigate how Musk’s Twitter takeover affects entrepreneurs’ actual Twitter usage, offering insights into the Musk Effect beyond its Wall Street implications. By identifying specific entrepreneur characteristics most influenced by the Musk Effect, this study underscores the nuanced nature of social influence in the digital age. It reveals that while high-profile figures like Musk can generate widespread interest, their direct impact on the digital behavior of peers may be limited. Understanding this dynamic is essential for accurately assessing the influence of prominent entrepreneurs on industry trends and behaviors in a rapidly evolving digital marketplace. The findings suggest that applying Social Identity and Social Influence Theories in digital contexts requires a more nuanced approach, considering the unique characteristics of online environments and the multiple factors shaping social identities and behaviors.