Process Versus Outcome Focus: How to Encourage Consumer to Increase Repayment Amount

Lili Wang, Shanghai Jiao Tong University, China
Wei Lv, Shanghai Jiao Tong University , China
Most decision research on credit cards has focused on understanding why consumers over-spend with credit. In order to solve debt problem, it is necessary to encourage individual to repay more each month to reduce the debt amount. Taylor and Schneider (1989) suggested that mental simulation served problem-solving functions and emotional regulation functions for turning imagined experience into action. In present paper, we used five studies to test that process simulation are more efficient to increase repayment amount than outcome simulation. Moreover, we also demonstrated that optimistic bias played as a mediator.
[ to cite ]:
Lili Wang and Wei Lv (2011) ,"Process Versus Outcome Focus: How to Encourage Consumer to Increase Repayment Amount", in NA - Advances in Consumer Research Volume 38, eds. Darren W. Dahl, Gita V. Johar, and Stijn M.J. van Osselaer, Duluth, MN : Association for Consumer Research.