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A tale of two marketplaces: Consumption restriction, social comparison, and life satisfaction

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  • Ronald Hill
  • Kelly Martin
  • Lan Chaplin

Abstract

Analysis with reports from more than 56,000 consumers across 38 countries reveals that social comparison (upward/downward) moderates the relationship between consumption restriction and life satisfaction. Specifically, insufficient access to goods and services combined with the likelihood of making upward social comparisons lowers life satisfaction—this negative consequence also is exacerbated by poverty. Most studies focus on wealthier consumers given importance of material abundance to affluent lifestyles; this investigation suggests that materialism also influences lives of impoverished consumers. Challenging our conventional wisdom, these results reveal that social comparisons are significantly more powerful determinants of life satisfaction for people in much poorer, developing societies than for people in more affluent societies. Specifically, compared to their affluent counterparts, impoverished consumers experience greater decreases in life satisfaction when their access to goods and services is lower than others within their societies. Copyright Springer Science+Business Media, LLC 2012

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  • Ronald Hill & Kelly Martin & Lan Chaplin, 2012. "A tale of two marketplaces: Consumption restriction, social comparison, and life satisfaction," Marketing Letters, Springer, vol. 23(3), pages 731-744, September.
  • Handle: RePEc:kap:mktlet:v:23:y:2012:i:3:p:731-744
    DOI: 10.1007/s11002-012-9175-4
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    3. Venera Maratovna Timiryanova & Kasim Nazifovich Yusupov & Ruzel Faritovich Salimyanov, 2020. "Relationship Between Consumption and Personal Income Within a Hierarchically Structured Spatial System," Spatial Economics=Prostranstvennaya Ekonomika, Economic Research Institute, Far Eastern Branch, Russian Academy of Sciences (Khabarovsk, Russia), issue 4, pages 91-112.
    4. Karanika, Katerina & Hogg, Margaret K., 2016. "Being kind to ourselves: Self-compassion, coping, and consumption," Journal of Business Research, Elsevier, vol. 69(2), pages 760-769.
    5. Madhubalan Viswanathan & Robert Alfonso Arias & Arun Sreekumar, 2021. "Extreme exclusion and relative deprivation in subsistence marketplaces: A study in a refugee settlement in Nakivale, Uganda," Journal of Consumer Affairs, Wiley Blackwell, vol. 55(1), pages 87-117, March.
    6. Charlene A. Dadzie, 2021. "Reimagining the Global South: Consumer welfare and public policy insights from the United States' Gulf Coast," Journal of Consumer Affairs, Wiley Blackwell, vol. 55(3), pages 1178-1199, September.
    7. Davide C. Orazi & Jiemiao Chen & Eugene Y. Chan, 2021. "To Erect Temples to Virtue: Effects of State Mindfulness on Other-Focused Ethical Behaviors," Journal of Business Ethics, Springer, vol. 169(4), pages 785-798, April.
    8. Tang, Honghong & Li, Lin & Su, Song, 2022. "Experiencing less leads to the use of more: The effect of a scarcity mindset on product usage," Journal of Business Research, Elsevier, vol. 149(C), pages 139-148.
    9. Arindam Das & Himadri Roy Chaudhuri, 2022. "Pandemics and consumer well‐being from the Global South," Journal of Consumer Affairs, Wiley Blackwell, vol. 56(1), pages 15-27, March.
    10. Arilova A. Randrianasolo, 2017. "Global brand value in developed, emerging, and least developed country markets," Journal of Brand Management, Palgrave Macmillan, vol. 24(5), pages 489-507, October.
    11. Khare, Apoorv & Jain, Rajesh, 2022. "Mapping the conceptual and intellectual structure of the consumer vulnerability field: A bibliometric analysis," Journal of Business Research, Elsevier, vol. 150(C), pages 567-584.

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