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Illustrates, through both actual and hypothetical examples, the importance to services marketers of recent empirical and theoretical work on decision framing. Suggests that services marketers could have more opportunity than product marketers for affecting the decision frames of consumers. Discusses implications for service marketers, including how decision framing can effect the positioning of service firms in an industry. Considers how the frame can affect the decision of whether or not to purchase, and how changes in the decision frame might encourage consumers to purchase more expensive alternatives.Notes ethical issues raised for marketers by these implications.

This research aims to represent an initial exploration of how partitioned pricing influences consumers’ purchase decisions of new versus used products from the theoretical perspectives of prospect theory and gain/loss decision frames.

Four experiments to test the hypotheses with multiple product categories have been conducted.

Results from a series of experimental studies find that consumers prefer partitioned pricing over all-inclusive pricing for new products, whereas all-inclusive pricing is more preferred for used products. In addition, the authors demonstrate that a high-quality brand can reverse this effect for used products; specifically, consumers prefer partitioned pricing over all-inclusive pricing for a used product with a high-quality brand.

This research contributes to the literature on second-hand consumption by examining the impact of pricing strategies on consumer purchase decisions of new versus used products. This study deepens our understanding of consumer decision-making for new versus used products and it provides implications for bolstering sustainable consumption.

Considers the relevance for marketing practitioners of the recent research findings about the decision‐framing process. Presents an overview of recent empirical research findings and a brief description of the theoretical rationale of the research. Surmises that decision‐framing of alternatives has a substantial impact on the choice among alternatives, even when relevant objective information remains invariant.

An aspect of prospect theory posits that decision‐makers, when making decisions in the face of risk, make their decisions with respect to a pre‐existing reference point or ‘frame’ (the statusquo bias). We utilize data from the Australian version of the TV game show, Deal or No Deal, to explore whether risk aversion varies with a change in reference point in a context where stakes are real and high.We achieve this by exploiting a special and unique Australian feature of the Deal or No Deal lottery‐choice setting, namely, the existence of the Chance or the SuperCase rounds (supplementary rounds). These rounds reverse the decision‐frame that was obtained in earlier (normal) rounds. We fit and estimate a complete dynamic decision‐making model to our dataset and find that the risk aversion estimate of contestants who participated in both the normal and the supplementary rounds indeed differs depending on the nature of the round, a result consistent with the operation of the existence of a framing effect.

Firms are increasingly required to make ethical choices when selecting suppliers for their supply chains, and the decisions often rest on individual purchasing managers within the firm. This study builds on the literature on ethical decision-making and the concept of decision frames to investigate the decision-making process of purchasing managers in financially distressed firms. Codes of Conduct (CoC) and how they are enforced (financial rewards and codified procedures for oversight) are studied in terms of their effectiveness in informing and guiding purchasing managers in their supplier selection decisions.

Four sequential experiments were conducted with a total of 648 purchasing managers from manufacturing firms.

The results indicate that purchasing managers in firms facing financial distress are more than four times more likely than purchasing managers in the control groups to select the less ethical supplier in favor of better operational performance. As a potential remedy, it is found that enforcing the firm's CoC help to counteract this tendency and increase ethical supplier selection decisions by 2.1- to 2.6-fold. However, CoC enforcement that invokes multiple conflicting decision frames simultaneously is more likely to impair than promote ethical supplier selection decisions, compared to situations where only one enforcement method is present.

These findings develop an improved understanding of purchasers' decision-making processes and shed light on how to effectively use CoCs to guide these decisions.

The purpose of this paper is to present a unique insight into the impact of decision framing and overconfidence on decision‐making effectiveness.

Conceptual with a case study/illustration.

The findings support the paper's theoretical assertions regarding the potentially positive impact of negative framing in the context of overconfidence and the potentially negative impact of positive framing under this context.

Case study/illustration (not empirical).

This research helps identify decision‐making situations which can dramatically alter the effectiveness of decision‐making processes. Decision makers need to know how factors such as overconfidence and framing can enhance or impede the quality of decisions generated.

Highly original – it challenges the traditional view of framing and overconfidence as automatic impediments to effective decision making.

Small business owners play an important role in the tax system. This paper seeks to establish a framework to highlight the particular tax situation of small business owners and the resulting implications, from a psychological perspective.

A framework identifying the key characteristics of small business owners' actual and perceived tax situation is established. Literature investigating these characteristics is reviewed in line with the proposed framework.

Three key aspects seem to distinguish small business owners' perceptions of their tax situation: small business owners are likely to perceive more opportunities not to comply than employed taxpayers; they are more likely to experience a lack of meaningful taxation knowledge; and they are more likely to face decision frames that render taxes as painful losses.

The suggested link between the subjective experience of the tax situation and compliance calls for a focus on strategies that aim to influence taxpayers' perceptions of their own evasion opportunities, their level of legislative and procedural knowledge, and their sense of ownership of tax money. Such a strategy is suggested to be particularly likely to be effective in the phase of nascent entrepreneurship and in a climate of mutual trust between taxpayers and tax authorities.

This paper comprehensively identifies and reviews the perceptual correlates of factors unique to small business owners' tax behaviour.

Destination recommender systems need to become truly human‐centric in their design and functionality. This requires a profound understanding of human interactions with technology as well as human behavior related to information search and decision‐making in the context of travel and tourism. This paper seeks to review relevant theories that can support the development and evaluation of destination recommender systems and to discuss how quantitative research can inform such theory building and testing.

Based on a review of information search and decision‐making literatures, a framework for the development of destination recommender systems is proposed and the implications for the design and evaluation of human‐centric recommender systems are discussed.

A variety of factors that influence the information search and processing strategies that influence interactions with a destination recommender system are identified. This reveals a great need for data‐driven models to inform recommender system processes.

The proposed framework provides a basis for future research and development in the area of destination recommender systems. The paper concludes that the success of a specific destination recommender system will depend largely on its ability to anticipate and respond creatively to transformations in the personal and situational needs of its users. Such system intelligence needs to be based on empirical data analyzed with sophisticated quantitative methods. The importance of recommender systems in tourism marketing is also discussed.

This paper offers a conceptualization of the internationalization decision confronted by a firm in an environment of terrorism‐induced risk.

The approach taken is a conceptualization of the internationalization decision framed from theoretical reasoning and informed by the literature.

The model presents the internationalization decision, a product/market/mode (PMM) combination, in the case of a terrorism‐free context and in a with‐terrorism context. Using indifference curve mapping of risk/return tradeoffs, an opportunities set of possible PMM combinations and the notion of efficiency, it traces the most attractive opportunities set to show that within this set, the frontier of attractive opportunities is constrained in the with‐terrorism case. Propositions are framed to guide future research. While conditions of risk can be calculated, it is concluded that remaining uncalculable is the true uncertainty incited by the systemic effects of international terrorism that call for managerial judgment.

The literature in this field reports little on the effects of international terrorism on the firm. With heightened awareness of international terrorism, and the changed environment for the firm operating internationally, it is timely that the effects of terrorism on decision‐making in firms be investigated. Advancing beyond description to substantive conceptualization of this decision is an essential step for better understanding of this now pervasive phenomenon.

This project was designed as a laboratory study to investigate the effects of organizational social cues (OSC), decision framing, and justice on managerial decision making in ethical situations. The OSC (ethical/ unethical), the framing (gain/loss), and the justice conditions (fair/unfair) were manipulated within a managerial in‐basket exercise. Participants read information about the organization and their situation within it. Next, they read scenarios and made several decisions involving ethical considerations. Results suggest that OSC and the experience of fairness or unfairness significantly influenced the managerial ethical decisions. Ethical OSC resulted in significantly more ethical decisions. Also, those in an “experienced fairness” justice condition made significantly more ethical decisions. The gain/loss framing did not significantly influence ethical decisions.