J. Dennis White

Price--quality integration in warranty evaluation a preliminary test of alternative models of risk assessment

Abstract In two conceptual replications of Shimp and Bearden (1982), subjects reported ratings of perceived risk based on three dimensions of a new product introduction: warranty coverage, warrantor reputation, and price. In the first study, several two- stage integration rules, derived from Andersons (1982) functional measurement methodology, were proposed to account for the findings. Contrary to past research suggesting the existence of subtractive price-quality trade-offs, a subject-by-subject analysis of the data suggests the existence of both subtractive and nonlinear integration rules. A second experiment tested a more specific single-stage risk model in a subject replication design. As expected, the second study provided statistical evidence confirming the graphical evidence of the first study. Together, these studies a) constitute a successful replication of Shimp and Beardens (1982) work on warranties, and b) demonstrate that subtractive integration rules do not adequately explain risk reduction efforts in warranty assessments with new product innovations.

An Integrated Model for Demand‐Output Management in Service Organisations: Implications for Future Research

Although research attention has been given to the modelling process for simultaneous demand‐output management in manufacturing systems, little interest has been demonstrated in service organisations despite the fact that such organisations face unique conditions that further complicate the demand‐output management issue. In response to this lack of emphasis, we review the relevant research from both marketing and operations management and present a cost‐effectiveness model for balancing demand and service output.

The Psychophysics of Price: A Critique of the Weber-Fechner Approach in Consumer Behavior

The present paper reviews the application of Fechnerian psychophysics to the study of consumer perceptual response to price. Because Weber’s Law and Fechner’s Law apply only to sensory dimensions, and are predicated upon the concepts of sensory thresholds, they cannot be applied to the study of price perception, since price is a nonsensory dimension. An alternative approach to the study of the psychophysics of price is presented which depends upon direct consumer estimates of subjective magnitude. The implications of this approach for future research are discussed.

The Application of Exploratory Data Analysis in Marketing: An Introduction to Selected Methods

This paper introduces the family of techniques called exploratory data analysis.Unlike classical confirmatory statistics which rely upon strict distributional assumptions, parameter estimation, and hypothesis testing, EDA adopts an informal method of data examination designed to explore the structure of the data.Three representative EDA techniques are introduced and applications to marketing data sets are presented.