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The aim of the research reported is to investigate consumers'reactions to advertisements containing misleading information on price. The underlying thesis is that such advertising generates negative consumer reactions in terms of attitude and intention and that these are heightened in the presence of suspicion.

A qualitative study was employed to identify the most frequently used misleading price communication strategies in Italy, and subsequently, an experimental study examined consumer response to a selection of advertisements that rely on these.

The qualitative study allows for the development of a typology of eight different misleading price communication practices which includes those based on the provision of purely false information alongside those employing an unclear or incomplete application of complex price communication strategies. The experimental study reveals that, when price information is communicated using misleading practices, consumers develop lower levels of trustworthiness toward the source of information as well as willingness to buy. Furthermore, these effects are heightened in the presence of suspicion.

These results provide evidence that consumers may react unfavourably to misleading price information. In addition, the research demonstrates that this negative response is greater for suspicious rather than non‐suspicious consumers.

The paper contributes to the growing body of literature that demonstrates consumers' negative reactions to unclear and incomplete price information generated by the misleading usage of complex price communication strategies.

Digitalization and marketing technologies have made it possible to overcome some barriers to pricing – a multidisciplinary field between marketing, finance and IT – and have set the stage for a paradigm shift in the pricing profession. Value creation, the pricing process, and price communication have been transformed by innovative business models and advanced algorithmic and human–machine solutions. This chapter synthesizes the literature to date and provides a comprehensive framework for an all-encompassing 360° pricing approach that broadens the understanding of pricing in the context of digital business across all steps of the price management process. Starting from product attributes and motivational beliefs in consumers' value assessment and adoption of (technological or digital) products or services, new business models and pricing models emerge in the digital economy, human–machine solutions for price implementation and repricing are increasingly applied, and price search and communication take place through a variety of digital communication channels. Each stage of this framework discusses concrete examples, highlighting the freemium strategy, the subscription model, price tracking and repricing tools, and digital price information channels such as e-commerce, marketplace, or price comparison platforms. The implications for price management in a digital, technology-driven landscape are discussed from the executive level to the analyst level.

Claims that effective price communication for services requires understanding variables that mediate the effects of price and the cognitive systems consumers use to process price information. Presents a model which indicates that involvement and source credibility mediate the effects of price. Discusses the heuristic and analytic cognitive systems which consumers could use to process price information. The article also reports the results of an experiment which tested the model, and discusses the managerial implications of the model.

The aim of this paper is to explore the price plans offered by Thai mobile operators and analyse the role of demand characteristics in the development of new price plans. The paper also shows how demand affects a firm's degree of innovativeness in terms of the number of new price plans.

The empirical qualitative analysis is based on an original data set from several secondary data sources and includes all the price plans offered in the history of the Thai mobile communications market between 2002 and 2010.

The results show that mobile operators have introduced several innovative price plans to attract and retain their consumers. Although a greater number of price plans can increase competition among operators, some have complex combinations that may lead to confusion for consumers.

A price comparison programme should therefore be implemented by the telecom regulator to ensure that consumers receive correct and complete information about the price plans.

Most studies, by far, have not extensively discussed this mobile communications market in detail and the effect of innovation on competition between firms in the mobile communications industry, in particular the development of innovation in developing countries.

The purpose of this paper is to analyze price decision-making through a practice-based approach. The paper investigates the micro-level practices used to arrive at sales price decisions.

In this study, a qualitative study approach is used to develop findings abductively. The data are gathered through an in-depth case study at two firms: semi-structured interviews, meeting observations, shadowing and pricing documents.

This paper finds that pricing is a collective decision-making process involving multiple actors across the organization. The case firms work on solving information, coordination and control problems to arrive at sales prices by enacting interlinked practices. Pricing is therefore neither a structure nor a single decision but a process consisting of multiple micro-level practices that enable firms to make pricing decisions.

This paper develops a practice-based approach to pricing that conceptualize the micro-level practices used to to make pricing decisions in the face of information, coordination and control problems. The paper is interdisciplinary and adds to the accounting literature and the market literature, which have tended to study pricing as a decision made by one decision maker, and not as an organizational process where multiple actors share, evaluate, interpret and coordinate information and decisions.

Many jurisdictions fine illegal cartels using penalty guidelines that presume an arbitrary 10% overcharge. This article surveys more than 700 published economic studies and judicial decisions that contain 2,041 quantitative estimates of overcharges of hard-core cartels. The primary findings are: (1) the median average long-run overcharge for all types of cartels over all time periods is 23.0%; (2) the mean average is at least 49%; (3) overcharges reached their zenith in 1891–1945 and have trended downward ever since; (4) 6% of the cartel episodes are zero; (5) median overcharges of international-membership cartels are 38% higher than those of domestic cartels; (6) convicted cartels are on average 19% more effective at raising prices as unpunished cartels; (7) bid-rigging conduct displays 25% lower markups than price-fixing cartels; (8) contemporary cartels targeted by class actions have higher overcharges; and (9) when cartels operate at peak effectiveness, price changes are 60–80% higher than the whole episode. Historical penalty guidelines aimed at optimally deterring cartels are likely to be too low.

When linked to human behavior and executed effectively, value-based pricing represents the most effective lever that a company has at its disposal to maximize profitability. The ability to integrate sophisticated analytics and market research in order to sell a customer the right product (and value) at the right price will drive profitability far more effectively and sustainably than other business initiatives (Marn & Rosiello, 1992, p. 84). This chapter addresses the use of analytics to determine where value resides and how to turn that analysis into an effective platform for pricing decisions. Organization-wide involvement in pricing is essential. A company must provide those persons responsible for pricing – including finance and sales persons – with information regarding the levers they can pull in the product transaction execution. Statistical business analytical software enables companies to apply microeconometrics (analytical and statistical capabilities) for the pricing and selling of products. The pricing waterfall helps companies understand where they can increase profits by using the pocket price and pocket margin to gain insights into which customer relationships can be more profitable than others. By examining the transaction structure, behavioral segmentation, and price optimization (three dimensions of the Analytics Triad), a company can conceive the full value proposition for groups of customers. An effective process and technology infrastructure that enables granular data development and analysis will help enable accurate and timely pricing decisions.

This study aims to examine consumers’ responses to crowdsourcing campaigns in the request initiation stage using the signaling theory from economics. The purpose of the research is threefold. First, it provides a comprehensive classification of various task types within crowdsourcing. Second, it conceptualizes crowdsourcing announcements as signals of customer orientation and empirically tests the differential effects of the two most common crowdsourcing task types (product- and communication-related) on customer orientation perceptions. Third, it illuminates the downstream behavioral consequences of crowdsourcing campaign announcements.

The authors conducted secondary data analysis of 883 crowdsourcing campaigns (pilot study) to provide evidence on the differential effects of crowdsourcing task types. In addition, four laboratory experiments were conducted to test the theoretical arguments. To test the main effect of crowdsourcing task types, Study 1A (N = 252 MTurk workers) used a one-factor (product- vs communication-related crowdsourcing vs control) between-subject design, whereas Study 1B (N = 171 undergraduate students) used a 2 (task type: product- vs communication-related) by 2 (product category: restaurant vs fashion) between-subject design. Study 2 (N = 93 MTurk workers) explored the underlying mechanism using a one-factor (product- vs communication-related) between-subject design. Study 3 (N = 375 MTurk workers) investigated the boundary condition for the effect of task type with a 2 (task type: product- vs communication-related) by 3 (company credibility: low vs neutral vs high) between-subject design.

The pilot study provides evidence for the conceptualized typology and the differential effects of crowdsourcing task types. Study 1A reveals that product-related crowdsourcing tends to have a more substantial impact than communication-related crowdsourcing on how customer-oriented consumers perceive a company. Study 1B validates the results of Study 1A in a different product category and population sample. Study 2 shows that the differential customer-orientation effect is mediated by the perceived cost of implementing the crowdsourcing outcome and unravels the differences in consumers’ purchase and campaign participation intentions depending on task type. Study 3 highlights that the customer-orientation effect attenuates as company credibility increases.

This research contributes to the crowdsourcing literature by categorizing the various types of crowdsourcing campaigns companies undertake and revealing the differential impact of the different types of crowdsourcing campaigns on consumers’ perceptions and behavioral intentions. In doing so, this research converges two lines of consumer research on crowdsourcing, i.e. product- and communication-related crowdsourcing. The findings add to the debate over the returns from research and development (R&D) versus advertising and extend it from marketing strategy to crowdsourcing literature.

The findings highlight the importance of choosing specific task types for crowdsourcing and lead to practical recommendations on designing crowdsourcing campaigns to maximize their benefits to crowdsourcing brands.

To the best of the authors’ knowledge, this is the first study that differentiates crowdsourcing task types and compares their effectiveness from a consumer perspective.

Briefly reviews previous literature by the author before presenting an original 12 step system integration protocol designed to ensure the success of companies or countries in their efforts to develop and market new products. Looks at the issues from different strategic levels such as corporate, international, military and economic. Presents 31 case studies, including the success of Japan in microchips to the failure of Xerox to sell its invention of the Alto personal computer 3 years before Apple: from the success in DNA and Superconductor research to the success of Sunbeam in inventing and marketing food processors: and from the daring invention and production of atomic energy for survival to the successes of sewing machine inventor Howe in co‐operating on patents to compete in markets. Includes 306 questions and answers in order to qualify concepts introduced.

The purpose of this paper is twofold: first, to provide a descriptive analysis of consumers’ ability to comprehend and use common price promotion information when they choose to do so (e.g. to find the least expensive price or to understand the savings amount); second, to identify which consumer groups (in terms of demographic characteristics) find price promotion comprehension particularly challenging.

An online questionnaire with 14 measures (four literacy, ten numeracy) was administered in the study. Data from 607 Australian consumers were analysed using descriptive, cross-tabulation, and multiple regression analysis via IBM SPSS analytics software.

On average, 20 per cent of the consumers surveyed were unable to comprehend the price promotion signage. On average, 13 per cent of the consumers were unable to carry out arithmetic tasks using the information on price promotion signage. Multiple regression models showed that income level was the main driving factor for the consumers’ price promotion literacy and numeracy levels.

The present study is the first exploratory examination of consumers’ levels of comprehension (literacy) and effective use (numeracy) regarding common types of price promotion communication. The use of online samples and data collection method overestimates the results effect.

This is a pilot field study to investigate whether levels of consumers’ price promotion literacy and numeracy are adequate for everyday decision making. The information can be used as evidence and justification for further research.