IDEAS home Printed from https://ideas.repec.org/a/oup/jconrs/v22y1995i1p90-97.html
   My bibliography  Save this article

Mental Accounting and Changes in Price: The Frame Dependence of Reference Dependence

Author

Listed:
  • Heath, Timothy B
  • Chatterjee, Subimal
  • France, Karen Russo

Abstract

Mental accounting principles for multiple events were replicated and then extended to pricing situations that were designed to moderate these principles if reference dependence is proportional (i.e., if consumers evaluate events in terms of proportional deviations from reference states rather than raw deviations). Prices were stated with or without popular percentage-based pricing frames such as "33 percent off." Mental accounting principles generally prevailed in the absence of percentage-based frames. However, percentage-based frames altered two principles and increased tendencies toward the others. The findings demonstrate that mental accounting principles, price perception, and reference dependence are sensitive to the ways in which deviations from reference states are framed. Copyright 1995 by the University of Chicago.

Suggested Citation

  • Heath, Timothy B & Chatterjee, Subimal & France, Karen Russo, 1995. "Mental Accounting and Changes in Price: The Frame Dependence of Reference Dependence," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 22(1), pages 90-97, June.
    • Handle: RePEc:oup:jconrs:v:22:y:1995:i:1:p:90-97
    DOI: 10.1086/209437
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1086/209437
    Download Restriction: no
    File URL: https://libkey.io/10.1086/209437?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
    ---><---

    More about this item

    Statistics

    Access and download statistics

    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:oup:jconrs:v:22:y:1995:i:1:p:90-97. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: the person in charge (email available below). General contact details of provider: https://academic.oup.com/jcr .

    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.