The Effects of Regulatory Focus on Consumer Judgments Involving Self and Others’ Payoffs

Subimal Chatterjee, Binghamton University, USA
Ashwin Malshe, Binghamton University, USA
Timothy Heath, Miami University of Ohio, USA
Glenn Pitman, School of Management, Binghamton University, USA
Prevailing theory and research suggest that promotion-focused consumers are more risk seeking than prevention-focused consumers. The current study shows, however, that adding a social dimension such as payoffs relative to others can eliminate this difference. Whereas promotion-focused consumers seek superior performance relative to others, the tendency to avoid inferior performance relative to others is not pronounced among prevention-focused consumers. The upshot is that the traditional risk-seeking promotion-focused consumer demands a substantial inequality premium (relative to their prevention-focused counterparts) if their winnings are split, equally or unequally, with other consumers
[ to cite ]:
Subimal Chatterjee, Ashwin Malshe, Timothy Heath, and Glenn Pitman (2010) ,"The Effects of Regulatory Focus on Consumer Judgments Involving Self and Others’ Payoffs", in NA - Advances in Consumer Research Volume 37, eds. Margaret C. Campbell, Jeff Inman, and Rik Pieters, Duluth, MN : Association for Consumer Research, Pages: 688-689 .