IDEAS home Printed from https://ideas.repec.org/a/eee/jobhdp/v162y2021icp1-8.html
   My bibliography  Save this article

The effect of categories on relative encoding biases in memory-based judgments

Author

Listed:
  • Sharif, Marissa A.
  • Oppenheimer, Daniel M.

Abstract

People are very good at making relative judgments (determining where a stimulus ranks in a distribution) but not very good at making absolute judgments (determining the absolute properties of the stimulus independent of context). Thus, when evaluating various stimuli, people tend to encode ordinal rank rather than objective quality. This leads to a robust bias in memory-based judgments: when the nature of the distribution shifts, people fail to update their memories of ordinal rank, and thus incorrectly judge a stimulus that is at the top [bottom] of the distribution at Time 1 to also be at the top [bottom] of a different distribution at Time 2. In two studies, we demonstrate a crucial moderator of the relative encoding bias on memory-based judgments: category saliency at the time of encoding. More specifically, we reveal that this memory-based judgment bias is reduced if it is made salient at the time of encoding that the stimuli from Time 1 and Time 2 are from different categories and thus different distributions.

Suggested Citation

  • Sharif, Marissa A. & Oppenheimer, Daniel M., 2021. "The effect of categories on relative encoding biases in memory-based judgments," Organizational Behavior and Human Decision Processes, Elsevier, vol. 162(C), pages 1-8.
  • Handle: RePEc:eee:jobhdp:v:162:y:2021:i:c:p:1-8
    DOI: 10.1016/j.obhdp.2020.10.005
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0749597820303915
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.obhdp.2020.10.005?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Lynch, John G, Jr & Marmorstein, Howard & Weigold, Michael F, 1988. "Choices from Sets Including Remembered Brands: Use of Recalled Attributes and Prior Overall Evaluations," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 15(2), pages 169-184, September.
    2. Alba, Joseph W & Hutchinson, J Wesley, 1987. "Dimensions of Consumer Expertise," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 13(4), pages 411-454, March.
    3. repec:cup:judgdm:v:7:y:2012:i:3:p:332-359 is not listed on IDEAS
    4. Yanping Tu & Dilip Soman, 2014. "The Categorization of Time and Its Impact on Task Initiation," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 41(3), pages 810-822.
    5. Taylor Randall & Karl Ulrich & David Reibstein, 1998. "Brand Equity and Vertical Product Line Extent," Marketing Science, INFORMS, vol. 17(4), pages 356-379.
    6. France Leclerc & Christopher K. Hsee & Joseph C. Nunes, 2005. "Narrow Focusing: Why the Relative Position of a Good in Its Category Matters More Than It Should," Marketing Science, INFORMS, vol. 24(2), pages 194-205, August.
    7. Chattopadhyay, Amitava & Alba, Joseph W, 1988. "The Situational Importance of Recall and Inference in Consumer Decision Making," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 15(1), pages 1-12, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Nasim Mousavi & Panagiotis Adamopoulos & Jesse Bockstedt, 2023. "The Decoy Effect and Recommendation Systems," Information Systems Research, INFORMS, vol. 34(4), pages 1533-1553, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chadwick J. Miller & Daniel C. Brannon & Jim Salas & Martha Troncoza, 2021. "Advertising, incentives, and the upsell: how advertising differentially moderates customer- vs. retailer-directed price incentives’ impact on consumers’ preferences for premium products," Journal of the Academy of Marketing Science, Springer, vol. 49(6), pages 1043-1064, November.
    2. Anocha Aribarg & Neeraj Arora, 2008. "—Interbrand Variant Overlap: Impact on Brand Preference and Portfolio Profit," Marketing Science, INFORMS, vol. 27(3), pages 474-491, 05-06.
    3. Deli Yang & Mahmut Sonmez & Mario Gonzalez & Yi Liu & Carol Y. Yoder, 2019. "Consumer-based brand equity and consumer-based brand performance: evidence from smartphone brands in the USA," Journal of Brand Management, Palgrave Macmillan, vol. 26(6), pages 717-732, November.
    4. Pecot, Fabien & Merchant, Altaf & Valette-Florence, Pierre & De Barnier, Virginie, 2018. "Cognitive outcomes of brand heritage: A signaling perspective," Journal of Business Research, Elsevier, vol. 85(C), pages 304-316.
    5. Jianan Wu & Arvind Rangaswamy, 2003. "A Fuzzy Set Model of Search and Consideration with an Application to an Online Market," Marketing Science, INFORMS, vol. 22(3), pages 411-434, March.
    6. Amin Ansary & Nik M. Hazrul Nik Hashim, 2018. "Brand image and equity: the mediating role of brand equity drivers and moderating effects of product type and word of mouth," Review of Managerial Science, Springer, vol. 12(4), pages 969-1002, October.
    7. Pomering, Alan & Johnson, Lester W., 2009. "Constructing a corporate social responsibility reputation using corporate image advertising," Australasian marketing journal, Elsevier, vol. 17(2), pages 106-114.
    8. Ikuo Ishibashi & Noriaki Matsushima, 2009. "The Existence of Low-End Firms May Help High-End Firms," Marketing Science, INFORMS, vol. 28(1), pages 136-147, 01-02.
    9. Bayuk, Julia Belyavsky & Patrick, Vanessa M., 2021. "Is the uphill road the one more taken? How task complexity prompts action on non-pressing tasks," Journal of Business Research, Elsevier, vol. 128(C), pages 436-449.
    10. Fabien Pecot & Altaf Merchant & Pierre Valette-Florence & Virginie de Barnier, 2018. "Cognitive outcomes of brand heritage: A signaling perspective," Post-Print hal-01831914, HAL.
    11. Andreas Herrmann & Michael D. Johnson, 1999. "Die Kundenzufriedenheit als Bestimmungsfaktor der Kundenbindung," Schmalenbach Journal of Business Research, Springer, vol. 51(6), pages 579-598, June.
    12. F. Magnoni & Elyette Roux, 2011. "Stretching a luxury brand down: An experimental study of core brand dilution effects," Post-Print halshs-00644899, HAL.
    13. Dong Hoo Kim & Doori Song, 2019. "Can brand experience shorten consumers’ psychological distance toward the brand? The effect of brand experience on consumers’ construal level," Journal of Brand Management, Palgrave Macmillan, vol. 26(3), pages 255-267, May.
    14. Rong Li & Amiya K. Basu, 2020. "Pricing Strategy for GM Food: Impact of Consumer Attitude Heterogeneity and GMO Food Labelling," Annals of Operations Research, Springer, vol. 291(1), pages 463-474, August.
    15. Kupeli, Birgul & Salman, Gulberk Gultekin & Karaosmanoglu, Elif & Daim, Tugrul, 2024. "Exploring self-service technology adoption: Case of airline check in," Technology in Society, Elsevier, vol. 77(C).
    16. Daria Dzyabura & Srikanth Jagabathula, 2018. "Offline Assortment Optimization in the Presence of an Online Channel," Management Science, INFORMS, vol. 64(6), pages 2767-2786, June.
    17. Catherine Viot & Juliette Passebois-Ducros, 2010. "Wine brands or branded wines? The specificity of the French market in terms of the brand," Post-Print hal-01803728, HAL.
    18. Lea Sonderegger-Wakolbinger & Christian Stummer, 2015. "An agent-based simulation of customer multi-channel choice behavior," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 23(2), pages 459-477, June.
    19. Vanitha Swaminathan & Srinivas Reddy & Sara Dommer, 2012. "Spillover effects of ingredient branded strategies on brand choice: A field study," Marketing Letters, Springer, vol. 23(1), pages 237-251, March.
    20. Daniel R Clark & Dan Li & Dean A Shepherd, 2018. "Country familiarity in the initial stage of foreign market selection," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 49(4), pages 442-472, May.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jobhdp:v:162:y:2021:i:c:p:1-8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/obhdp .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.