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Market Share and Customers’ Perceptions of Quality: When Can Firms Grow Their Way to Higher versus Lower Quality?

224 citations0/0 files storedJournal of Marketing

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Consumer Market Behavior and Pricing Customer Service Quality and Loyalty Consumer Behavior in Brand Consumption and Identification

Abstract

Market share can influence perceived quality through several different mechanisms, including signaling, creating network externalities, and inclusion as an attribute in consumers’ quality functions. The direction of this potential effect is ambiguous. Making use of data on 85 different brands across 28 product categories, the authors explore the effect market share has on consumers’ perceptions of quality and the extent to which category-wide and brand-specific factors moderate this effect.

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References

1969Investigating Causal Relations by Econometric Models and Cross-spectral Methods 1975Judgment under Uncertainty: Heuristics and Biases 1988Consumer Perceptions of Price, Quality, and Value: A Means-End Model and Synthesis of Evidence 2019American Economic Review 1982Judgment under Uncertainty 1985Network externalities, competition, and compatibility 1984Judgment Under Uncertainty: Heuristics and Biases.1992A National Customer Satisfaction Barometer: The Swedish Experience

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2000The Effect of Brand Class, Brand Awareness, and Price on Customer Value and Behavioral Intentions 2015Remanufacturing, Third-Party Competition, and Consumers' Perceived Value of New Products 2006Concern for Information Privacy and Online Consumer Purchasing 2018The effect of online reviews on product sales: A joint sentiment-topic analysis 2004Examining service experiences and post‐consumption evaluations 2013Reexamining the Market Share–Customer Satisfaction Relationship

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