Forschungsprojekt ::

Price Endings and Cultural Superstitions

Projektbeschreibung

Eastern versus Western culture pricing practices differ with respect to price endings; however, Eastern cultures are
increasingly influenced by Western multinational corporations. At the same time, increasing antiglobalization sentiment
suggests the use of localization strategies in these markets. The authors investigate whether pricing practices still differ in
this new environment, examine the role of superstition, and ask whether Western brands can benefit from localizing
pricing practices. They explore the use of lucky number price endings and consumer responses to such pricing strategies in
Singapore, an Eastern culture that is strongly exposed to Western multinational influence. Using a content analysis of
newspaper advertisements and two experiments, the authors find that superstitious pricing practices continue, especially
with high-priced items and brands of Eastern (vs. Western) origin. In the experimental studies, they find that superstitious
pricing has a positive effect on price attractiveness and that foreign brands that localize their prices benefit from a more
positive brand attitude.