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Framing Influence on Fairness Perceptions of Differential Prices

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  • Catoiu, Iacob

    ()
    (Academy of Economic Studies, Bucharest.)

  • Vranceanu, Diana Maria

    (Academy of Economic Studies, Bucharest.)

  • Tatu, Cristian

    (Academy of Economic Studies, Bucharest.)

Abstract

The objective of the research presented in this paper is to examine the effect of two types of framing (attribute and goal) on distributive and procedural price fairness perceptions and on some other variables of consumer behavior. For this purpose, two 2x2 marketing experiments were conducted. The first study evaluated the influence of price framing and seller’s motive on price fairness, price policy fairness, and value perceptions, as well as shopping intentions. The second study assessed the influence of price framing and seller’s motive framing on the same variables as in the first study. An important finding of this paper was that price framing has a direct influence on price fairness perceptions and seller’s motive has a direct influence on policy fairness perceptions. The implications of these results for the firms concern the communication of their pricing messages.

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Bibliographic Info

Article provided by Institute for Economic Forecasting in its journal Romanian Journal for Economic Forecasting.

Volume (Year): (2010)
Issue (Month): 3 (September)
Pages: 158-172

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Handle: RePEc:rjr:romjef:v::y:2010:i:3:p:158-172

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Related research

Keywords: distributive fairness; procedural fairness; attribute framing; goal framing; dual entitlement;

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  1. Kelly L. Haws & William O. Bearden, 2006. "Dynamic Pricing and Consumer Fairness Perceptions," Journal of Consumer Research, University of Chicago Press, vol. 33(3), pages 304-311, October.
  2. Kahneman, Daniel & Knetsch, Jack L & Thaler, Richard, 1986. "Fairness as a Constraint on Profit Seeking: Entitlements in the Market," American Economic Review, American Economic Association, vol. 76(4), pages 728-41, September.
  3. Lisa E. Bolton & Joseph W. Alba, 2006. "Price Fairness: Good and Service Differences and the Role of Vendor Costs," Journal of Consumer Research, University of Chicago Press, vol. 33(2), pages 258-265, 07.
  4. Iacob Cătoiu & Diana Maria Vrânceanu & Alina Filip, 2010. "Setting Fair Prices – Fundamental Principle Of Sustainable Marketing," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 12(27), pages 115-128, February.
  5. Krishnamurthy, Parthasarathy & Carter, Patrick & Blair, Edward, 2001. "Attribute Framing and Goal Framing Effects in Health Decisions," Organizational Behavior and Human Decision Processes, Elsevier, vol. 85(2), pages 382-399, July.
  6. Vaidyanathan, Rajiv & Aggarwal, Praveen, 2003. "Who is the fairest of them all? An attributional approach to price fairness perceptions," Journal of Business Research, Elsevier, vol. 56(6), pages 453-463, June.
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