Department of Management

Explaining the use of attribute cut-off values in decision making by means of involvement

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  • Anne O. Peschel
  • Carola Grebitus, Arizona State University, Morrison School of Agribusiness
  • ,
  • Gregory Colson, University of Georgia, Department of Agricultural and Applied Economics, United States
  • Wuyang Hu, University of Kentucky, Department of Agricultural Economics, Denmark
In order to lower the cognitive burden of decision making, consumers may apply attribute cut-off values to simplify decision strategies. Products with attributes that do not pass the cut-off values are either not being considered by the individual or are greatly discounted. This study provides new evidence on consumers’ heterogeneous use of attribute cut-offs with a unique focus on the relationship with consumer involvement, a key component in consumer choice theory. Behavioral data from an online choice experiment on beef steak employing shelf simulations are combined with questions defining respondents’ attribute cut-off values and their validated Personal Involvement Inventory (PII). Evidence from the analysis indicates that consumers who are highly involved are more likely to exhibit attribute cut-off values and are less likely to violate their cut-off values. Further investigation using a latent class model identifies several key consumer segments (e.g., a price sensitive group) based on their choice behavior and reveals that the relationship between involvement, cut-off use and cut-off violations is not uniform across consumer segments.
Original languageEnglish
JournalJournal of Behavioral and Experimental Economics
Pages (from-to)58-66
Number of pages9
Publication statusPublished - 2016

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