Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing

This research explores the trade-offs that customers make between different economic, social, and psychological considerations to arrive at a pay-what-you-want (PWYW) pricing decision. Specifically, it examines the differences in the moderating effects of price consciousness and social desirabili...

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Main Authors: Rabbanee, Fazlul, Sharma, Piyush, Roy, Rajat
Format: Journal Article
Published: Elsevier 2021
Online Access:http://hdl.handle.net/20.500.11937/86765
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author Rabbanee, Fazlul
Sharma, Piyush
Roy, Rajat
author_facet Rabbanee, Fazlul
Sharma, Piyush
Roy, Rajat
author_sort Rabbanee, Fazlul
building Curtin Institutional Repository
collection Online Access
description This research explores the trade-offs that customers make between different economic, social, and psychological considerations to arrive at a pay-what-you-want (PWYW) pricing decision. Specifically, it examines the differences in the moderating effects of price consciousness and social desirability on customers’ PWYW pricing decisions between private and public contexts. Three empirical studies are used to test the hypotheses. The findings reveal that the internal reference price and fairness perception positively affect the PWYW prices. These effects are moderated negatively (attenuated) by price consciousness and positively (enhanced) by social desirability. Moreover, the moderating effect of price consciousness is stronger in the private context, while the moderating effect of social desirability is stronger in the public context. These findings offer novel insights on the cognitive process underlying the trade-off between economic and socio-psychological boundary conditions (i.e., price consciousness and social desirability) that drive contrasting effects on customer decision-making in PWYW pricing.
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institution Curtin University Malaysia
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last_indexed 2025-11-14T11:26:06Z
publishDate 2021
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spelling curtin-20.500.11937-867652021-12-13T04:18:03Z Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing Rabbanee, Fazlul Sharma, Piyush Roy, Rajat This research explores the trade-offs that customers make between different economic, social, and psychological considerations to arrive at a pay-what-you-want (PWYW) pricing decision. Specifically, it examines the differences in the moderating effects of price consciousness and social desirability on customers’ PWYW pricing decisions between private and public contexts. Three empirical studies are used to test the hypotheses. The findings reveal that the internal reference price and fairness perception positively affect the PWYW prices. These effects are moderated negatively (attenuated) by price consciousness and positively (enhanced) by social desirability. Moreover, the moderating effect of price consciousness is stronger in the private context, while the moderating effect of social desirability is stronger in the public context. These findings offer novel insights on the cognitive process underlying the trade-off between economic and socio-psychological boundary conditions (i.e., price consciousness and social desirability) that drive contrasting effects on customer decision-making in PWYW pricing. 2021 Journal Article http://hdl.handle.net/20.500.11937/86765 Elsevier restricted
spellingShingle Rabbanee, Fazlul
Sharma, Piyush
Roy, Rajat
Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing
title Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing
title_full Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing
title_fullStr Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing
title_full_unstemmed Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing
title_short Contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (PWYW) pricing
title_sort contextual differences in the moderating effects of price consciousness and social desirability in pay-what-you-want (pwyw) pricing
url http://hdl.handle.net/20.500.11937/86765