Covariation Learning, Quality Expectation and Product Valuation Under Homoscedastic and Heteroscedastic Uncertainty

We establish that cue-outcome (e.g., price-quality) learning depends on whether outcome uncertainty is the same (homoscedastic) or varies (heteroscedastic) for different cue values. Specifically, a series of experiments shows stronger perceived cue-outcome association under heteroscedastic than under homoscedastic outcome uncertainty and demonstrates implications for consumers’ quality expectations and product valuations.



Citation:

Bart de Langhe, Stefano Puntoni, Ann L. McGill, and Stijn van Osselaer (2011) ,"Covariation Learning, Quality Expectation and Product Valuation Under Homoscedastic and Heteroscedastic Uncertainty", 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.

Authors

Bart de Langhe, Erasmus University Rotterdam, The Netherlands
Stefano Puntoni, Erasmus University Rotterdam, The Netherlands
Ann L. McGill, University of Chicago, USA
Stijn van Osselaer, Erasmus University Rotterdam, The Netherlands



Volume

NA - Advances in Consumer Research Volume 38 | 2011



Share Proceeding

Featured papers

See More

Featured

Felt Ambivalence: Exploring the Storage Structure and Role of Situational Relevance on the Accessibility of Dominant and Conflicting Reactions

Amit Surendra Singh, Ohio State University, USA
H. Rao Unnava, University of California, Davis

Read More

Featured

G2. You Run When Time Flies: Time Metaphors Affect Inferences from the Speed of Time

N. Alican Mecit, HEC Paris, France
L. J. Shrum, HEC Paris, France
tina m. lowrey, HEC Paris, France

Read More

Featured

The Interaction Effect of Food Variety and Simulation of Eating on Consumers' Calorie Estimation

Liang Shen, Shanghai Jiao Tong University
Fengyan Cai, Shanghai Jiao Tong University
Ying Yu, Huazhong Agricultural University

Read More

Engage with Us

Becoming an Association for Consumer Research member is simple. Membership in ACR is relatively inexpensive, but brings significant benefits to its members.