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Functional Compatibility Risk and Consumer Preference for Product BundlesUniversity of Central Florida
University of Houston The authors report the results of an experiment examining the effect of functional compatibility risk on Consumers' preference for product bundles vis-à-vis separate items. In a laboratory experiment, 90 undergraduate business students were asked to choose bundled or unbundled stereo equipment after reading product information that either did or did not prime fears of functional compatibility risk. The results indicate that heightening the salience of functional compatibility risk may be a practical way for marketers to increase Consumers'choice of bundled products, particularly among consumers who are more uncertain of their product knowledge.
Key Words: bundling priming functional risk performance risk knowledge uncertainty
Journal of the Academy of Marketing Science, Vol. 34, No. 1,
19-26 (2006) This article has been cited by other articles:
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