Psychological approach to consumer buying decisions Analysis of the psychological purse and psychology of price

SOTOHIRO KOJIMA

doi:10.4992/psycholres1954.36.10

Psychological approach to consumer buying decisions

Analysis of the psychological purse and psychology of price

SOTOHIRO KOJIMA

Author information

Keywords: decision making, consumer psychology, psychology of price, psychological purse

JOURNAL FREE ACCESS

1994 Volume 36 Issue 1 Pages 10-19

DOI https://doi.org/10.4992/psycholres1954.36.10

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Published: April 20, 1994 Received: November 04, 1993 Available on J-STAGE: February 24, 2009 Accepted: January 08, 1994 Advance online publication: - Revised: -
Correction information
Date of correction: February 24, 2009 Reason for correction: - Correction: ABSTRACT Details: Wrong : The effects of psychological purse on buying decisions are discussed in Part I. The concept of psychological purse assumes that the consumer has several kinds of psychological purses. Various experiments were conducted to exhibit the enlargement and reduction of the size of the psychological purse, depending on goods or services to buy, buying motivation, budget and other conditions. In Part II, various aspects of the issue of price and buying decisions are experimentally discussed. The major topics arc: (1) the possibility of applying the Weber ratio and Helson's adaptation level theory to price judgement, and the framing effects and price judgement, (2) with regard to bargains, which has stronger effects on buying behavior, displaying the price difference or price difference ratio? Is psychological pricing really effective? (3) the effects of the presentation order of trade-off information on buying decisions.
Right : The effects of psychological purse on buying decisions are discussed in Part I. The concept of psychological purse assumes that the consumer has several kinds of psychological purses. Various experiments were conducted to exhibit the enlargement and reduction of the size of the psychological purse, depending on goods or services to buy, buying motivation, budget, and other conditions. In Part II, various aspects of the issue of price and buying decisions are experimentally discussed. The major topics are: (1) the possibility of applying the Weber ratio and Helson's adaptation level theory to price judgement, and the framing effects and price judgement, (2) with regard to bargains, which has stronger effects on buying behavior, displaying the price difference or price difference ratio? Is psychological pricing really effective? (3) the effects of the presentation order of trade-off information on buying decisions

Date of correction: February 24, 2009 Reason for correction: - Correction: AFFILIATION Details: Wrong :
1) Deparnnent of Management, Aichigakuin University.

Right :
1) Department of Management, Aichigakuin University

Date of correction: February 24, 2009 Reason for correction: - Correction: CITATION Details: Wrong : Akamatsu. J. 1980 The psychology of price. Advertising Science, 7. 1-11. (In Japanese)
Asch, S. E. 1964 Forming impressions of personality. Journal of Abnormal and Social Psvchology, 41, 258-290.
Christensen. C. 1989 The psychophysics of spending. Journal of Behavioral Decision Making, 2, 69-80.
Helson. H. 1964 Adaptation-level theory. Harper & Row.
Kahneman, D., & Tversky. A. 1979 Prospect theory An analysis of decision under risk. Econometica, 47, 263-291.
Katona, G. 1951 Psychological anaysis of economic behavior. New York: McGraw Hill.
Kojima, S. 1964 A study of consumer psychology. Japan Productivity Bureau. (In Japanese)
Kojima, S. 1972 A study of consumer psychology. Revised edition. Japan Productivity Bureau. (In Japanese)
Kojima, S. 1986 The psychology of price. Diamond Co. (In Japanese)
Kojima, S., & Hama, Y. 1982 Aspects of the psychology of spending. Japanese Psychological Research, 24, 29-38.
Mizuhara, T., Takuma, T., Hidano, T., & Azuma, H. 1959 The effect of time-order in giving information upon person perception. Japanese Journal of Psychology, 30, 269-272. (In Japanese)
Monroe, K, B. 1971 Measuring price thresholds by psychophysics and latitudes of acceptance. Journal of Marketing Research, 8, 460-464.
Nakatani, K. 1968 Measurement of utility. Bulletin of Nikkei Advertising Research Institute, 6, 18-24. (In Japanese)
Nakayachi, K. 1993 Consumer's evaluation on discount: The effects of consumer's budget and product category. Japanese Association of Industrial /Organizational Psvchology Journal, 7, 25-29. (In Japanese)
Tanaka, M., & Kitade, S. 1974 The psychological purse. Diamond Co. (In Japanese)
Tversky, A., & Kahneman, D. 1981 The framing of decisions and the psychology of choice. Science, 211, 453-458.
Tversky, A., & Kahneman, D. 1991 Loss aversion in riskless choice: A reference dependent model. Quarterly Journal of Economics, 107, 1039-1061.

Right : Akamatsu, J. 1980 The psychology of price. Adrerrising Science. 7. 1-11.(In Japanese)
Asch. S. E. 1964 Forming impressions of personality. Journal of Abnormal and Social Psychology, 41, 258-290.
Christensen. C. 1989 The psychophysics of spending. Journal of Behavioral Decision Making, 2, 69-80.
Helson, H. 196-4 Adaptation-level theory. Harper & Row.
Kahneman, D., & Tversky. A. 1979 Prospect theory: An analysis of decision under risk. Econometrica, 47, 263-291.
Katona, G. 19, 51 Psrchological analysis of economic behavior. New York: McGraw Hill. Kojima, S. 1964 A study of consumer psychology. Japan Productivity Bureau.(In Japanese)
Kojima, S. 1972 A study of consumer psychology. Revised edition. Japan Productivity Bureau.(In Japanese)
Kojima, S. 1986 The psychology of price. Diamond Co.(In Japanese)
Kojima, S., & Hama, Y. 1982 Aspects of the psychology of spending. Japanese Psychological Research, 24, 29-38.
Mizuhara, T., Takuma, T., Hidano, T., & Azuma, H. 1959 The effect of time-order in giving information upon person perception. Japanese Journal of Psychology, 30, 269-272.(In Japanese)
Monroe, K, B. 1971 Measuring price thresholds by psychophysics and latitudes of acceptance. Journal of Marketing Research, 8, 460-464.
Nakatani, K. 1968 Measurement of utility. Bulletin of Nikkei Advertising Research Institute, 6, 18-24.(In Japanese)
Nakayachi, K. 1993 Consumer's evaluation on discount: The effects of consumer's budget and product category. Japanese Association of Industrial /Organizational Psychology Journal, 7, 25-29.(In Japanese)
Tanaka, M, & Kitade, S. 1974 The psychological purse. Diamond Co.(In Japanese)
Tversky, A., & Kahneman, D. 1981 The framing of decisions and the psychology of choice. Science, 211, 453-458.
Tversky, A., & Kahneman, D. 1991 Loss aversion in riskless choice: A reference dependent model. Quarter/v Journal of Economics, 107, 1039-1061.

Date of correction: February 24, 2009 Reason for correction: - Correction: PDF FILE Details: -

Date of correction: February 24, 2009 Reason for correction: - Correction: ABSTRACT Details: Wrong : The effects of psychological purse on buying decisions are discussed in Part I. The concept of psychological purse assumes that the consumer has several kinds of psychological purses. Various experiments were conducted to exhibit the enlargement and reduction of the size of the psychological purse, depending on goods or services to buy, buying motivation, budget, and other conditions. In Part II, various aspects of the issue of price and buying decisions are experimentally discussed. The major topics are: (1) the possibility of applying the Weber ratio and Helson's adaptation level theory to price judgement, and the framing effects and price judgement, (2) with regard to bargains, which has stronger effects on buying behavior, displaying the price difference or price difference ratio? Is psychological pricing really effective? (3) the effects of the presentation order of trade-off information on buying decisions
Right : The effects of psychological purse on buying decisions are discussed in Part I. The concept of psychological purse assumes that the consumer has several kinds of psychological purses. Various experiments were conducted to exhibit the enlargement and reduction of the size of the psychological purse, depending on goods or services to buy, buying motivation, budget, and other conditions. In Part II, various aspects of the issue of price and buying decisions are experimentally discussed. The major topics are:(1) the possibility of applying the Weber ratio and Helson's adaptation level theory to price judgement, and the framing effects and price judgement, (2) with regard to bargains, which has stronger effects on buying behavior, displaying the price difference or price difference ratio? Is psychological pricing really effective?(3) the effects of the presentation order of trade-off information on buying decisions.

Date of correction: February 24, 2009 Reason for correction: - Correction: CITATION Details: Wrong : Akamatsu, J. 1980 The psychology of price. Adrerrising Science. 7. 1-11.(In Japanese)
Asch. S. E. 1964 Forming impressions of personality. Journal of Abnormal and Social Psychology, 41, 258-290.
Christensen. C. 1989 The psychophysics of spending. Journal of Behavioral Decision Making, 2, 69-80.
Helson, H. 196-4 Adaptation-level theory. Harper & Row.
Kahneman, D., & Tversky. A. 1979 Prospect theory: An analysis of decision under risk. Econometrica, 47, 263-291.
Katona, G. 19, 51 Psrchological analysis of economic behavior. New York: McGraw Hill. Kojima, S. 1964 A study of consumer psychology. Japan Productivity Bureau.(In Japanese)
Kojima, S. 1972 A study of consumer psychology. Revised edition. Japan Productivity Bureau.(In Japanese)
Kojima, S. 1986 The psychology of price. Diamond Co.(In Japanese)
Kojima, S., & Hama, Y. 1982 Aspects of the psychology of spending. Japanese Psychological Research, 24, 29-38.
Mizuhara, T., Takuma, T., Hidano, T., & Azuma, H. 1959 The effect of time-order in giving information upon person perception. Japanese Journal of Psychology, 30, 269-272.(In Japanese)
Monroe, K, B. 1971 Measuring price thresholds by psychophysics and latitudes of acceptance. Journal of Marketing Research, 8, 460-464.
Nakatani, K. 1968 Measurement of utility. Bulletin of Nikkei Advertising Research Institute, 6, 18-24.(In Japanese)
Nakayachi, K. 1993 Consumer's evaluation on discount: The effects of consumer's budget and product category. Japanese Association of Industrial /Organizational Psychology Journal, 7, 25-29.(In Japanese)
Tanaka, M, & Kitade, S. 1974 The psychological purse. Diamond Co.(In Japanese)
Tversky, A., & Kahneman, D. 1981 The framing of decisions and the psychology of choice. Science, 211, 453-458.
Tversky, A., & Kahneman, D. 1991 Loss aversion in riskless choice: A reference dependent model. Quarter/v Journal of Economics, 107, 1039-1061.

Right : Akamatsu, J. 1980 The psychology of price. Advertising Science. 7, 1-11.(In Japanese)
Asch. S. E. 1964 Forming impressions of personality. Journal of Abnormal and Social Psychology, 41, 258-290.
Christensen. C. 1989 The psychophysics of spending. Journal of Behavioral Decision Making, 2, 69-80.
Helson, H. 1964 Adaptation-level theory. Harper & Row.
Kahneman, D., & Tversky. A. 1979 Prospect theory: An analysis of decision under risk. Econometica, 47, 263-291.
Katona, G. 1951 Psychological analysis of economic behavior. New York: McGraw Hill. Kojima, S. 1964 A study of consumer psychology. Japan Productivity Bureau.(In Japanese)
Kojima, S. 1972 A study of consumer psychology. Revised edition. Japan Productivity Bureau.(In Japanese)
Kojima, S. 1986 The psychology of price. Diamond Co.(In Japanese)
Kojima, S., & Hama, Y. 1982 Aspects of the psychology of spending. Japanese Psychological Research, 24, 29-38.
Mizuhara, T., Takuma, T., Hidano, T., & Azuma, H. 1959 The effect of time-order in giving information upon person perception. Japanese Journal of Psychology, 30, 269-272.(In Japanese)
Monroe, K, B. 1971 Measuring price thresholds by psychophysics and latitudes of acceptance. Journal of Marketing Research, 8, 460-464.
Nakatani, K. 1968 Measurement of utility. Bulletin of Nikkei Advertising Research Institute, 6, 18-24.(In Japanese)
Nakayachi, K. 1993 Consumer's evaluation on discount: The effects of consumer's budget and product category. Japanese Association of Industrial /Organizational Psychology Journal, 7, 25-29.(In Japanese)
Tanaka, M., & Kitade, S. 1974 The psychological purse. Diamond Co.(In Japanese)
Tversky, A., & Kahneman, D. 1981 The framing of decisions and the psychology of choice. Science, 211, 453-458.
Tversky, A., & Kahneman, D. 1991 Loss aversion in riskless choice: A reference dependent model. Quarterly Journal of Economics, 107, 1039-1061.

Abstract

The effects of psychological purse on buying decisions are discussed in Part I. The concept of psychological purse assumes that the consumer has several kinds of psychological purses. Various experiments were conducted to exhibit the enlargement and reduction of the size of the psychological purse, depending on goods or services to buy, buying motivation, budget, and other conditions. In Part II, various aspects of the issue of price and buying decisions are experimentally discussed. The major topics are:(1) the possibility of applying the Weber ratio and Helson's adaptation level theory to price judgement, and the framing effects and price judgement, (2) with regard to bargains, which has stronger effects on buying behavior, displaying the price difference or price difference ratio? Is psychological pricing really effective?(3) the effects of the presentation order of trade-off information on buying decisions.

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