Date of Award

1-1-2011

Document Type

Campus Access Dissertation

Department

Moore School of Business

First Advisor

William O Bearden

Second Advisor

Ashwani Monga

Abstract

While satisfaction is a heavily researched construct in consumer behavior, the primary focus has been on expectations and product performance, with limited attention to how both the time at which costs are incurred and the type of costs incurred might influence satisfaction assessments. The present research applies a mental accounting model to suggest that the timing of costs (i.e., with respect to accounting periods and budgeting periods) and the nature of costs (i.e., whether costs are temporal or monetary) influence both the salience of costs and satisfaction with product performance. Specifically, for costs of time, but not money, accounting periods influence both cost salience and satisfaction with positive product performance outcomes. For costs of money, but not time, budgeting periods influence both cost salience and satisfaction with positive product performance outcomes. Eight studies examine these asymmetries and the process by which they arise.

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