... Dependent Variables The research incorporated multiple indicators of the three dependent vari... more ... Dependent Variables The research incorporated multiple indicators of the three dependent variables perceived product quality, perceived value of the offer, and willingness to purchase. ...Willingness to purchase PR 12,566 0.81 .64 12,534 0.70 .75 ...
How do buyers judge prices? How do they know whether a product or service is priced reasonably, i... more How do buyers judge prices? How do they know whether a product or service is priced reasonably, is a good deal or is too expensive? Do buyers perceive all price increases and all price promotions? Do price promotions and price increases necessarily change buyer behavior? How do buyers process the plethora of price information they encounter each day? Economists contend that price primarily represents the monetary sacrifice to obtain a product or service. Behavioral price researchers argue that more complex phenomena are involved. Buyers have individual, internal norms against which they judge prices. There are threshold points below which buyers do not perceive price changes. There are also specific ranges of prices buyers find acceptable for a particular product. Despite over four decades of behavioral price research, we know little about the root causes of these buyer responses to price information. This article is the first of several planned essays that will review the historical, theoretical and empirical developments in the field of behavioral price research. In this first review, we examine the core concepts behind buyer responses to price as well as the complex way that people process numbers. The objective of these essays is to bring focus to, clarify conceptual definitions, examine empirical developments and raise future research questions for this field of study.
Purpose -This paper aims to link conceptually the concepts of price fairness and customer satisfa... more Purpose -This paper aims to link conceptually the concepts of price fairness and customer satisfaction and empirically demonstrate the influence of perceived price fairness on satisfaction judgments. Further, it seeks to examine specific factors that influence fairness perceptions including price perception and consumer vulnerability. Design/methodology/approach -The study is conducted in the context of automobile purchases in major German car dealerships. Based on a theoretical conceptualization of the constructs and an empirical pretest, 246 car buyers were surveyed and their fairness perceptions and satisfaction judgments with the car buying process measured. Findings -The research shows that price perceptions directly influence satisfaction judgments as well as indirectly through perceptions of price fairness. Results also indicated that consumers' vulnerability, which is induced by a perceived demand-supply relationship and the urgency of need from the consumers' side, had a negative effect on perceived price offer fairness.
... price experience forms a specific and quantifiable standard of reference for judging subseque... more ... price experience forms a specific and quantifiable standard of reference for judging subsequent prices (Della Bitta and Monroe 1974; Nwokoye ... of buyers' multidimensional responses to price presentations (Engel, Blackwell and Kollat 1978; Jacoby 1978; Wind and Denny 1974 ...
This research adds to the understanding of how consumers' comfort with computers influences their... more This research adds to the understanding of how consumers' comfort with computers influences their evaluation of prices for goods offered over the Internet. The effect of computer anxiety, under different motivational conditions, on the evaluation of price for a product in an on-line environment was examined with the use of an experimental design. The results indicate that computer anxiety interacts with motivation to influence price perceptions, in a manner consistent with predictions derived from the process theories of attitude formation and change. Specifically, in the highmotivation condition, subjects with a greater level of computer anxiety viewed high price as indicative of higher value than those with less computer anxiety (who evaluated the low price as better value). In the low-motivation condition, both groups linked high price with higher perceived quality than the low price level. ᭧
ABSTRACT Business-to-business (B2B) and business-to-consumer (B2C) markets differ in many ways as... more ABSTRACT Business-to-business (B2B) and business-to-consumer (B2C) markets differ in many ways as documented in the contemporary marketing literature. However, many behavioral characteristics of human beings – particularly those related to judgment and decision-making – are present across diverse contexts. From this insight, we derive a proposition: many behavioral price concepts developed in the past B2C behavioral price research may be applicable in B2B context as well. The objective of this paper is to examine this proposition through analyzing the existing evidence on five important behavioral price concepts: reference price, price thresholds, acceptable price range, price as an indicator of quality, and the price–perceived value model. At a more general level, the objective of this paper is to demonstrate the importance of recognizing how buyers' responses to prices and price information differ from the traditional assumptions about such behaviors in B2B marketing literature.
Marketers frequently use promotions to enhance sales and increase consumers' perceptions of value... more Marketers frequently use promotions to enhance sales and increase consumers' perceptions of value. However, most promotions usually come with restrictions, such as time expiration, quantity or product model restriction, etc. In the present research, the effect of the stage in the purchase process when the consumer finds out about the restriction is investigated. The findings indicate that the later in the purchase process the consumer discovers the restriction, the greater is the perception that the effort invested into the purchase is wasted, consequently resulting in lower promotion and price fairness. This effect is mediated through the feeling of entitlement to the promotional price and the inferred negative retailer's motive for the promotion. Theoretical and managerial implications are also discussed.
Objective: To present the process of transcultural adaptation of the Richmond Compulsive Buying S... more Objective: To present the process of transcultural adaptation of the Richmond Compulsive Buying Scale to Brazilian Portuguese. Methods: For the semantic adaptation step, the scale was translated to Portuguese and then back-translated to English by two professional translators and one psychologist, without any communication between them. The scale was then applied to 20 participants from the general population for language adjustments. For the construct validation step, an exploratory factor analysis was performed, using the scree plot test, principal component analysis for factor extraction, and Varimax rotation. For convergent validity, the Results: The scale showed easy applicability, satisfactory internal consistency (Cronbach's alpha=.87), and a high correlation with other rating scales for compulsive buying disorder, indicating that it is suitable to be used in the assessment and diagnosis of compulsive buying disorder, as it presents psychometric validity. Conclusion: The Brazilian Portuguese version of the Richmond Compulsive Buying Scale has good validity and reliability
This research explored the effects of two personality variables, the need for cognition and trait... more This research explored the effects of two personality variables, the need for cognition and trait anxiety, on consumers' price acceptability. The study used 124 subjects to determine support for the predicted relationships between the two personality variables and price acceptability. The results showed that the low need for cognition individuals had significantly lower price acceptability than the high need for cognition individuals. On the other hand, price acceptability showed a U-shaped relationship with trait anxiety. Price acceptability for both high-and low-anxiety individuals was higher than that for individuals with moderate levels of anxiety. ᭧
... Dependent Variables The research incorporated multiple indicators of the three dependent vari... more ... Dependent Variables The research incorporated multiple indicators of the three dependent variables perceived product quality, perceived value of the offer, and willingness to purchase. ...Willingness to purchase PR 12,566 0.81 .64 12,534 0.70 .75 ...
How do buyers judge prices? How do they know whether a product or service is priced reasonably, i... more How do buyers judge prices? How do they know whether a product or service is priced reasonably, is a good deal or is too expensive? Do buyers perceive all price increases and all price promotions? Do price promotions and price increases necessarily change buyer behavior? How do buyers process the plethora of price information they encounter each day? Economists contend that price primarily represents the monetary sacrifice to obtain a product or service. Behavioral price researchers argue that more complex phenomena are involved. Buyers have individual, internal norms against which they judge prices. There are threshold points below which buyers do not perceive price changes. There are also specific ranges of prices buyers find acceptable for a particular product. Despite over four decades of behavioral price research, we know little about the root causes of these buyer responses to price information. This article is the first of several planned essays that will review the historical, theoretical and empirical developments in the field of behavioral price research. In this first review, we examine the core concepts behind buyer responses to price as well as the complex way that people process numbers. The objective of these essays is to bring focus to, clarify conceptual definitions, examine empirical developments and raise future research questions for this field of study.
Purpose -This paper aims to link conceptually the concepts of price fairness and customer satisfa... more Purpose -This paper aims to link conceptually the concepts of price fairness and customer satisfaction and empirically demonstrate the influence of perceived price fairness on satisfaction judgments. Further, it seeks to examine specific factors that influence fairness perceptions including price perception and consumer vulnerability. Design/methodology/approach -The study is conducted in the context of automobile purchases in major German car dealerships. Based on a theoretical conceptualization of the constructs and an empirical pretest, 246 car buyers were surveyed and their fairness perceptions and satisfaction judgments with the car buying process measured. Findings -The research shows that price perceptions directly influence satisfaction judgments as well as indirectly through perceptions of price fairness. Results also indicated that consumers' vulnerability, which is induced by a perceived demand-supply relationship and the urgency of need from the consumers' side, had a negative effect on perceived price offer fairness.
... price experience forms a specific and quantifiable standard of reference for judging subseque... more ... price experience forms a specific and quantifiable standard of reference for judging subsequent prices (Della Bitta and Monroe 1974; Nwokoye ... of buyers' multidimensional responses to price presentations (Engel, Blackwell and Kollat 1978; Jacoby 1978; Wind and Denny 1974 ...
This research adds to the understanding of how consumers' comfort with computers influences their... more This research adds to the understanding of how consumers' comfort with computers influences their evaluation of prices for goods offered over the Internet. The effect of computer anxiety, under different motivational conditions, on the evaluation of price for a product in an on-line environment was examined with the use of an experimental design. The results indicate that computer anxiety interacts with motivation to influence price perceptions, in a manner consistent with predictions derived from the process theories of attitude formation and change. Specifically, in the highmotivation condition, subjects with a greater level of computer anxiety viewed high price as indicative of higher value than those with less computer anxiety (who evaluated the low price as better value). In the low-motivation condition, both groups linked high price with higher perceived quality than the low price level. ᭧
ABSTRACT Business-to-business (B2B) and business-to-consumer (B2C) markets differ in many ways as... more ABSTRACT Business-to-business (B2B) and business-to-consumer (B2C) markets differ in many ways as documented in the contemporary marketing literature. However, many behavioral characteristics of human beings – particularly those related to judgment and decision-making – are present across diverse contexts. From this insight, we derive a proposition: many behavioral price concepts developed in the past B2C behavioral price research may be applicable in B2B context as well. The objective of this paper is to examine this proposition through analyzing the existing evidence on five important behavioral price concepts: reference price, price thresholds, acceptable price range, price as an indicator of quality, and the price–perceived value model. At a more general level, the objective of this paper is to demonstrate the importance of recognizing how buyers' responses to prices and price information differ from the traditional assumptions about such behaviors in B2B marketing literature.
Marketers frequently use promotions to enhance sales and increase consumers' perceptions of value... more Marketers frequently use promotions to enhance sales and increase consumers' perceptions of value. However, most promotions usually come with restrictions, such as time expiration, quantity or product model restriction, etc. In the present research, the effect of the stage in the purchase process when the consumer finds out about the restriction is investigated. The findings indicate that the later in the purchase process the consumer discovers the restriction, the greater is the perception that the effort invested into the purchase is wasted, consequently resulting in lower promotion and price fairness. This effect is mediated through the feeling of entitlement to the promotional price and the inferred negative retailer's motive for the promotion. Theoretical and managerial implications are also discussed.
Objective: To present the process of transcultural adaptation of the Richmond Compulsive Buying S... more Objective: To present the process of transcultural adaptation of the Richmond Compulsive Buying Scale to Brazilian Portuguese. Methods: For the semantic adaptation step, the scale was translated to Portuguese and then back-translated to English by two professional translators and one psychologist, without any communication between them. The scale was then applied to 20 participants from the general population for language adjustments. For the construct validation step, an exploratory factor analysis was performed, using the scree plot test, principal component analysis for factor extraction, and Varimax rotation. For convergent validity, the Results: The scale showed easy applicability, satisfactory internal consistency (Cronbach's alpha=.87), and a high correlation with other rating scales for compulsive buying disorder, indicating that it is suitable to be used in the assessment and diagnosis of compulsive buying disorder, as it presents psychometric validity. Conclusion: The Brazilian Portuguese version of the Richmond Compulsive Buying Scale has good validity and reliability
This research explored the effects of two personality variables, the need for cognition and trait... more This research explored the effects of two personality variables, the need for cognition and trait anxiety, on consumers' price acceptability. The study used 124 subjects to determine support for the predicted relationships between the two personality variables and price acceptability. The results showed that the low need for cognition individuals had significantly lower price acceptability than the high need for cognition individuals. On the other hand, price acceptability showed a U-shaped relationship with trait anxiety. Price acceptability for both high-and low-anxiety individuals was higher than that for individuals with moderate levels of anxiety. ᭧
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