In the context of purchasing ultimatums, consumers may dislike the freedom of choice that comes with proposing offers due to their awareness that the other party may have better information than they do and the fact that the attractiveness of outside alternatives is uncertain. Indeed, across three studies, we find that people prefer to receive rather than propose offers. In Study 1, proposers reached fewer agreements and experienced less favorable attitudes (e.g., satisfaction, fairness, recommendation intentions), particularly when their offers were rejected. In Study 2, proposers experienced more uncertainty and cognitive depletion as compared to receivers, again particularly if the proposed offer was rejected. In Study 3, role preferences were explained by the existence of higher regret in the proposer role, particularly if the proposed offer was rejected. We conclude with a consideration of the theoretical and practical implications of our research for scholars, customers, and service providers.
|Number of pages
|Organizational Behavior and Human Decision Processes
|Published - Sep 2012
All Science Journal Classification (ASJC) codes
- Applied Psychology
- Organizational Behavior and Human Resource Management