Understanding the Impact of Reviews on Consumer Product Choices under Negotiated Pricing

Author(s):  
Jisu Cao ◽  
Sha Yang
2021 ◽  
pp. tobaccocontrol-2021-056599
Author(s):  
Yong Yang ◽  
Eric N. Lindblom ◽  
Ramzi G. Salloum ◽  
Kenneth D. Ward

IntroductionTo understand the impact of e-cigarette devices, flavours, nicotine levels and prices on adult e-cigarette users’ choices among closed-system and open-system e-cigarettes, cigarettes and heated tobacco products (HTPs).MethodsOnline discrete choice experiments were conducted among adult (≥18 years) e-cigarette users (n=2642) in August 2020. Conditional logit regressions were used to assess the relative impact of product attributes and the interactions between product attributes and user characteristics, with stratified analyses to examine differences by smoking status and primarily used e-cigarette device and flavour.ResultsOn average, participants preferred non-tobacco and non-menthol flavours most, preferred open-system over closed-system e-cigarettes and preferred regular nicotine level over low nicotine level. However, the preference varied by demographics, smoking status and the primarily used e-cigarette device and flavour. The differences in preference among products/devices were larger than the difference among flavours or nicotine levels. Participants who primarily used closed-system e-cigarettes exhibited similar preferences for closed-system and open-system e-cigarettes, but those who primarily used open-system e-cigarettes preferred much more open-system over closed-system e-cigarettes. HTP was the least preferred product, much lower than cigarettes in general, but participants living in states where IQOS is being sold had similar preferences to cigarettes and HTPs.ConclusionsPeople are unlikely to switch to another product/device because of the restriction of flavour or nicotine level. If non-tobacco and non-menthol flavours were banned from open-system e-cigarettes, users may switch to menthol flavour e-cigarettes. Intervention strategies should be tailored to specific groups.


Author(s):  
Michael J. Kalsher ◽  
Michael B. Cote ◽  
Matthew V. Champagne ◽  
Michael S. Wogalter

Research has examined various factors that influence warning effectiveness. Virtually no research, however, has explored the possibility of improving warnings by incorporating hepatic (touch) cues. The present study assessed the impact of adding a raised border surrounding the warning message on a common consumer product (glue). The raised border warning was compared to the same warning without a raised border and a no-warning control in the context of actual product use (constructing a model airplane). Results indicated that the raised border significantly increased the noticeability, comprehension, and recall of the warning label compared to a no-warning control. There was a trend for compliance to be highest for the raised border condition, but it was not statistically significant. Implications for improving warning design are discussed.


Author(s):  
Vincent C. Conzola ◽  
Michael S. Wogalter

Research has shown that explicitly worded warnings are judged to be more effective than similar warnings lacking explicitness. One possible way of increasing warning explicitness is to include injury outcome statistics in the warning statement. The heuristic processing model of persuasion would postulate that the impact of persuasive messages, like warnings, is influenced by heuristic cues such as the number and length of arguments and the presence of statistics. This research investigated the effect of embedding injury outcome statistics in the safety instructions for electric power tools. Warning statement recall and various rating judgments were measured. Results showed that the presence of statistics led to greater recall and higher ratings of warning importance, vividness, and explicitness. Implications for the design of consumer product warnings are discussed.


2019 ◽  
Vol 43 (5) ◽  
pp. 728-742 ◽  
Author(s):  
JiHye Park ◽  
JaeHong Park ◽  
Ho-Jung Yoon

Purpose When purchasing digital content (DC), consumers are typically influenced by various information sources on the website. Prior research has mostly focused on the individual effect of the information sources on the DC choice. To fill the gap in the previous studies, this research includes three main effects: information cascades, recommendations and word of mouth. In particular, the purpose of this paper is to focus on the interaction effect of information cascades and recommendations on the number of software downloads. Design/methodology/approach The authors use the panel generalized least squares estimation to test the hypotheses by using a panel data set of 2,000 pieces of software at download.cnet.com over a month-long period. Product ranking and recommendation status are used as key independent variables to capture the effects of information cascades and recommendations, respectively. Findings One of this study’s findings is that information cascades positively interact with recommendations to influence the number of software downloads. The authors also show that the impact of information cascades on the number of software downloads is greater than one of the recommendations from a distributor does. Originality/value Information cascades and recommendations have been considered as the primary effects for online product choices. However, these two effects typically are not considered together in one research. As previous studies have mainly focused on each effect, respectively, the authors believe that this study may fill the gap by examining how these effects are interacted to one other to influence customers’ choices. The authors also show that the impact of information cascades on the number of software downloads is greater than one of the recommendations from a system does.


2018 ◽  
Vol 27 (6) ◽  
pp. 701-715 ◽  
Author(s):  
Xiaoye Chen ◽  
Rong Huang

Purpose This paper aims to investigate whether corporate social responsibility (CSR) efforts that are oriented toward shared value creation generate any perceptual advantages in terms of consumer product attributes evaluations compared with other types of CSR. The study also uncovers consumers’ pathways that channel the impacts of corporate associations on corporate and product evaluations and purchase intention. Design/methodology/approach This study uses a between-subjects experimental design. In all, 274 undergraduate students from a North American university participated in the 2 (low versus high corporate ability levels) × 4 (CSR types) study. The data were analyzed using the methodologies of path analysis and multiple group analysis in the context of structural equation modeling procedure. Findings The findings show that in the context of shared-value CSR, CSR image (i.e. consumer judgments on the moral aspect of the company) can spill over to product attributes evaluations, including perceptions of “product innovativeness” and “product social responsibility,” which, in turn, translate to purchase willingness. Meanwhile, perceived corporate trustworthiness mediates the effects of CSR image and corporate ability (CA) image on the overall corporate evaluation, which subsequently influences consumer product evaluation and purchase intention. Research limitations/implications The research provides direct evidence showing that companies have the potential to improve their corporate brand and, in turn, their product evaluations by putting a stronger emphasis on the social responsibility components of their image and placing this at the core of their strategic agenda. Importantly, a contribution to the literature by identifying differential effects of CA image versus CSR image on consumer perception of product innovativeness within different CSR categories is made. The limitations of the research are discussed, which include the usage of a fictitious company and brand and a convenience sample. Practical implications The study offers guidance to managers in regard to their choice of different CSR practices to fulfill their company’s product-related strategic goals. Originality/value The present study takes a critical stance to show that previous experimental work investigating the impact of CSR image on product evaluations relied predominantly on bipolar manipulations of CSR practices (bad versus good) rather than bringing many shades of CSR into consideration. By incorporating a wide array of CSR formats, especially value-creating CSR, current research generates potential implications based on differential effects of various CSR focuses, which have not been captured by previous studies.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Wei Xu ◽  
XiaoTong Jin

PurposeWe examine how social exclusion and temporal distance (i.e. being socially excluded in the present or the anticipation of exclusion in the future) shape whether people choose hedonic or utilitarian products.Design/methodology/approachWe conduct four experiments to test the hypotheses. Study 1a and study 1b provide the initial evidence that consumers strategically engage in differentiation in response to social exclusion in the present and in the future. Study 2 and study 3 replicate the basic interaction effect of social exclusion and temporal distance on product choices and test the underlying mechanism.FindingsWe find that temporal distance affects consumer product choices through people’s coping strategies. When consumers are socially excluded, they are more likely to have a problem-solving tendency and more likely to choose utilitarian products. In contrast, when consumers imagine being socially excluded in the future, they are more likely to have to use emotions to solve problems and choose hedonic products.Originality/valueOur study contributes to the literature in several ways. First, it deepens our understanding of the psychological drivers of social exclusion in consumer research. Second, it offers insights into understanding prior findings that document both problem-solving and emotion-regulating behavior in response to social exclusion. Third, by showing that social exclusion and temporal distance can influence the type of products selected, our findings contribute to a new stream of work that examines the impact of people’s fundamental desire for control on consumer behavior.


2018 ◽  
Vol 5 (2) ◽  
pp. 1-6
Author(s):  
Hishan S Sanil ◽  
Ahmad Amirul Arsyad bin Noraidi ◽  
Suresh Ramakrishnan

This research is conducted to determine the impact of different firm sizes on the relationship between capital structure determinants and leverage among listed consumer product firms in Malaysia from year 2006 to 2015. All data was taken from annual report of the companies by using DataStream. In 2015, 130 firms were listed in Bursa Malaysia under the consumer product sector. However, only 108 firms were observed as several firms had insufficient data. This study uses the dependent variable of debt ratios i.e. short-term debt, long-term debt and total debt. The independent variables used are firm size, profitability, tangibility, liquidity, growth, non-tax debt shield and business risk. Those results were obtained by applying Pooled OLS and Fixed Effect Analysis. The main finding of this study is that different firm sizes will affect the relationship between capital structure determinants and leverage. The Fixed Effect analysis revealed that all determinants were significant across all types firm sizes. Furthermore, non-tax debt shield had the largest impact to all types of leverage across different firm sizes.


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