Boomerang Effects of Low Price Discounts

The authors show that providing a low price discount (vs. none) can lower purchase intentions and incidences under certain conditions-when discounts are low and purchase volume is small. This effect disappears when purchase volumes are large, consumers weight all attributes equally.


Fengyan Cai, Rajesh Bagchi, and Dinesh Gauri (2015) ,"Boomerang Effects of Low Price Discounts", in AP - Asia-Pacific Advances in Consumer Research Volume 11, eds. Echo Wen Wan, Meng Zhang, and , Duluth, MN : Association for Consumer Research, Pages: 318-318.


Fengyan Cai, Shanghai Jiao Tong University, China
Rajesh Bagchi, Virginia Tech, USA
Dinesh Gauri, Syracuse University


AP - Asia-Pacific Advances in Consumer Research Volume 11 | 2015

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