The Impact of Computer Anxiety on the Evaluation of Prices on the Internet

Rajneesh Suri, McKinsey & Company
Rajesh Manchanda, University of Manitoba
Kent B. Monroe, University of Illinois-Urbana Champaign
Srini S. Srinivasan, Drexel University
ABSTRACT - This research seeks to add to our understanding of how consumers’ comfort with using computers (computer anxiety) could influence their willingness to pay disparate prices for goods offered over the Internet. An experiment was designed to examine the effects of motivation to shop online and computer anxiety on the evaluation of price for a product in an online environment. The results indicated that computer anxiety interacted with the motivation to shop to influence price perceptions. For motivated subjects with high computer anxiety, a high price level was evaluated higher in value than individuals with low computer anxiety. Conversely, motivated subjects with low computer anxiety evaluated the low price level as better value. For less motivated subjects, the high price level was perceived higher in quality than the low price level.
[ to cite ]:
Rajneesh Suri, Rajesh Manchanda, Kent B. Monroe, and Srini S. Srinivasan (2002) ,"The Impact of Computer Anxiety on the Evaluation of Prices on the Internet", in NA - Advances in Consumer Research Volume 29, eds. Susan M. Broniarczyk and Kent Nakamoto, Valdosta, GA : Association for Consumer Research, Pages: 254.

Advances in Consumer Research Volume 29, 2002     Page 254

THE IMPACT OF COMPUTER ANXIETY ON THE EVALUATION OF PRICES ON THE INTERNET

Rajneesh Suri, McKinsey & Company

Rajesh Manchanda, University of Manitoba

Kent B. Monroe, University of Illinois-Urbana Champaign

Srini S. Srinivasan, Drexel University

ABSTRACT -

This research seeks to add to our understanding of how consumers’ comfort with using computers (computer anxiety) could influence their willingness to pay disparate prices for goods offered over the Internet. An experiment was designed to examine the effects of motivation to shop online and computer anxiety on the evaluation of price for a product in an online environment. The results indicated that computer anxiety interacted with the motivation to shop to influence price perceptions. For motivated subjects with high computer anxiety, a high price level was evaluated higher in value than individuals with low computer anxiety. Conversely, motivated subjects with low computer anxiety evaluated the low price level as better value. For less motivated subjects, the high price level was perceived higher in quality than the low price level.

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