Asymmetric Competition in Choice and the Leveraging of Competitive Disadvantages
Bibliographic Data
| ID | 2214035 |
|---|---|
| Authors | Timothy B Heath (0000-0002-8223-7559, Graduate School USA), Gangseog Ryu (National University of Singapore), Subimal Chatterjee (Management Sciences (United States)), Michael S Mccarthy, Michael Mccarthy (0000-0003-3484-8360), David L Mothersbaugh (University of Alabama), Sandra Milberg (Georgetown University), Gary J Gaeth (0000-0001-9514-8531, University of Iowa) |
| Year | 2000 |
| Volume | 27 |
| Issue | 3 |
| Pages | 291-308 |
| Publication date | 2000-12-01 |
| Peer Reviewed | Yes |
| Open Access | No |
| Type | ARTICLE |
| Venue | Journal of Consumer Research (JOURNAL) |
| Journal identifiers | ISSN: 0093-5301 • E-ISSN: 1537-5277 |
| Publisher | Oxford University Press (OUP) (PUBLISHER) |
| DOI | 10.1086/317586 |
| OpenAlex | W2101995379 |
| Language | EN |
| Citations received | 2 |
| References cited | 31 |
Studies of grocery sales show that consumers of store brands switch to (price) discounted national brands more than consumers of national brands switch to discounted store brands. Such asymmetric price competition can be explained with numerous mechanisms proposed here and elsewhere. We report a choice experiment that replicates asymmetric price competition favoring higher-quality competitors and demonstrates asymmetric quality competition favoring lower-quality competitors. Also demonstrated are multiple mechanisms contributing to competitive asymmetries, where dominance involving the otherwise preferred brand is particularly potent (e.g., when a higher-quality competitor matches the price of an otherwise preferred lower-quality brand). The findings implicate modifications to (1) theories of decision making when extended to repeat choice, (2) empirical models of secondary purchase data, and (3) strategies for positioning and attacking brands. Whereas improving competitive disadvantages often attracts consumers from competitors more than does improving competitive advantages, this benefit must be weighed against the differentiation sacrificed by improving competitive disadvantages (improving competitive advantages, in contrast, increases differentiation)
Advertising · Business · Competition (biology) · Competitor analysis · Dominance (genetics) · Duopoly · Economics · Industrial organization · Microeconomics · Quality (philosophy) · Consumer Market Behavior and Pricing · Decision-Making and Behavioral Economics · Economic and Environmental Valuation · Marketing
Choice in Context
Mental Accounting and Consumer Choice
Between Hope and Fear
Loss Aversion in Riskless Choice
Prospect Theory
Mood States and Consumer Behavior
Affect intensity as an individual difference characteristic
Negativity and extremity biases in impression formation
Feature matching, unique features, and the dynamics of the choice process
The need for cognition
Asymmetric Decoy Effects on Lower-Quality Versus Higher-Quality Brands
Toward Understanding the Attraction Effect
Adding Asymmetrically Dominated Alternatives
Consumer Behavior and Psychological Reactance
Mere-Possession Effects without Possession in Consumer Choice
| Unique citing works | 2 |
|---|---|
| Citations per year | 0,25 |
| Citation span | 2018 - 2023 (6) |
| Citation velocity | historical |
| Highly cited | No |
| Citation types | Neutral: 2 |