ASPIRATION AND COMPROMISE EFFECT1

SHIH-CHIEH CHUANG · Pei-Hsun Wu · Danny Tengti Kao · Chia-Ching Tsai

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Decision-Making and Behavioral Economics Consumer Behavior and Marketing Influence Consumer Market Behavior and Pricing

Abstract

Consumers' choice is often influenced by numerous reference points, such as the consumers' aspiration for product quality. In this study, the effect of such aspiration in compromise was investigated. Two experiments with 722 participants (309 men and 413 women) indicated that, when the quality of a product was below participants' aspiration level, the compromise effect decreased.

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