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Does scarcity increase or decrease donation behaviors? An investigation considering resource-specific scarcity and individual person-thing orientation

Author

Listed:
  • Malika Malika

    (Indian Institute of Management Bangalore)

  • Tanuka Ghoshal

    (City University of New York)

  • Pragya Mathur

    (City University of New York)

  • Durairaj Maheswaran

    (Stern School of Business)

Abstract

Extant research remains equivocal with respect to whether scarcity increases or decreases charitable behaviors. This research suggests a reconciliation by considering a donor’s resource-specific scarcity, and their person-thing orientation (PTO), a novel personality variable that determines whether individuals are naturally attuned towards people versus things in their environment. Person-orientation predisposes preferences towards donating time, while thing-orientation predisposes preferences towards donating money. Time scarcity leads person-oriented individuals to prefer donating money, but does not affect thing-oriented individuals. Financial scarcity leads thing-oriented individuals to prefer donating time, but does not affect person-oriented individuals. Person-oriented individuals’ attention towards other people and thing-oriented individuals’ focus on resource evaluation form the basis for the observed relative donation preferences. Finally, PTO can also be situationally induced. Using donation intentions and real click-through behavior for diverse charitable organizations, we show in five studies that the combined effect of consumers’ perceived resource-specific scarcity and PTO determines the relative preference for donating time vs. donating money. Our results have important implications for charities soliciting specific kinds of resources, as well as real-world government and social welfare initiatives critically dependent on volunteerism. Theoretically, we examine scarcity from an individual-difference perspective that has not been well understood.

Suggested Citation

  • Malika Malika & Tanuka Ghoshal & Pragya Mathur & Durairaj Maheswaran, 2024. "Does scarcity increase or decrease donation behaviors? An investigation considering resource-specific scarcity and individual person-thing orientation," Journal of the Academy of Marketing Science, Springer, vol. 52(2), pages 426-448, March.
    • Handle: RePEc:spr:joamsc:v:52:y:2024:i:2:d:10.1007_s11747-023-00938-2
    DOI: 10.1007/s11747-023-00938-2
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