Advance Selling When Consumers Regret

Published Online:https://doi.org/10.1287/mnsc.1110.1473

References

  • Abendroth L. J., Diehl K. Now or never: Effects of limited purchase opportunities on patterns of regret over time. J. Consumer Res. (2006) 33(3):342–351CrossrefGoogle Scholar
  • Bagnoli M., Bergstrom T. Log-concave probability and its applications. Econom. Theory (2005) 26(2):445–469CrossrefGoogle Scholar
  • Bell D. E. Regret in decision making under uncertainty. Oper. Res. (1982) 30(5):961–981LinkGoogle Scholar
  • Boyacı T., Özer Ö. Information acquisition for capacity planning via pricing and advance selling: When to stop and act? Oper. Res. (2010) 58(5):1328–1349LinkGoogle Scholar
  • Braun M., Muermann A. The impact of regret on the demand for insurance. J. Risk Uncertainty (2004) 71(4):737–767Google Scholar
  • Calzolari G., Pavan A. Monopoly with resale. RAND J. Econom. (2006) 37(2):362–375CrossrefGoogle Scholar
  • Chang R. S. G.M.'s 60-day money-back guarantee. New York Times (2009) September 11). http://wheels.blogs.nytimes.com/2009/09/11/gms-60-day-money-back-guarantee/Google Scholar
  • Che Y.-K. Customer return policies for experience goods. J. Indust. Econom. (1996) 44(1):17–24CrossrefGoogle Scholar
  • Cooke A. D. J., Meyvis T., Schwartz A. Avoiding future regret in purchase timing decisions. J. Consumer Res. (2001) 27(4):447–459CrossrefGoogle Scholar
  • Courty P. Some economics of ticket resale. J. Econom. Perspect. (2003) 17(2):85–97CrossrefGoogle Scholar
  • DeGraba P. Buying frenzies and seller-induced excess demand. RAND J. Econom. (1995) 26(2):331–342CrossrefGoogle Scholar
  • Diecidue E., Rudi N., Tang W. Dynamic purchase decisions under regret: Price and availability. Decision Anal. (2012) 9(1):22–30LinkGoogle Scholar
  • Engelbrecht-Wiggans R., Katok E. Regret in auctions: Theory and evidence. Econom. Theory (2006) 33(1):81–101CrossrefGoogle Scholar
  • Gallego G., Şahin Ö. Revenue management with partially refundable fares. Oper. Res. (2010) 58(4):817–833LinkGoogle Scholar
  • Gilovich T., Medvec V. H. The experience of regret: What, when, and why. Psych. Rev. (1995) 102(2):379–395CrossrefGoogle Scholar
  • Happel S. K., Jennings M. Creating a futures market for major event tickets: Problems and prospects. Cato J. (2002) 21(3):443–461Google Scholar
  • Irons B., Hepburn C. Regret theory and the tyranny of choice. Econom. Record (2007) 83(261):191–203CrossrefGoogle Scholar
  • Kahneman D., Tversky A. The psychology of preferences. Sci. Amer. (1982) 246(1):160–173CrossrefGoogle Scholar
  • Karp G. Price protection can put money in your pocket. Chicago Tribune (2008) January 6). http://www.chicagotribune.com/business/yourmoney/sns-yourmoney-0106spending,0,3675077.storyGoogle Scholar
  • Keinan A., Kivetz R. Remedying hyperopia: The effects of self-control regret on consumer behavior. J. Marketing Res. (2008) 45(6):676–689CrossrefGoogle Scholar
  • Liu Q., Shum S. On the value of psychological elation and disappointment effects in capacity and pricing decisions. (2009) . Working paper, Hong Kong University of Science and Technology, KowloonGoogle Scholar
  • Liu Q., van Ryzin G. Strategic capacity rationing to induce early purchases. Management Sci. (2008) 54(6):1115–1131LinkGoogle Scholar
  • Liu Q., Xiao W. Selling to heterogeneous customers with uncertain valuations under returns policies. (2008) . Working paper, Hong Kong University of Science and Technology, KowloonCrossrefGoogle Scholar
  • Loch C. H., Wu Y. Behavioral operations management. Foundation Trends Techn., Inform. Oper. Management (2007) 1(3):121–232CrossrefGoogle Scholar
  • Loomes G., Sugden R. Regret theory: An alternative theory of rational choice under uncertainty. Econom. J. (1982) 92(368):805–824Google Scholar
  • Möller M., Watanabe M. Advance purchase discounts versus clearance sales. Econom. J. (2010) 120(547):1125–1148Google Scholar
  • Nasiry J., Popescu I. The effects of product availability on consumer regret and advance purchase decisions. (2010) . Working paper, Hong Kong University of Science and Technology, KowloonGoogle Scholar
  • Nocke V., Peitz M. A theory of clearance sales. Econom. J. (2007) 117(552):964–990Google Scholar
  • Nocke V., Peitz M., Rosar F. Advance-purchase discounts as a price discrimination device. J. Econom. Theory (2011) 146(1):141–162CrossrefGoogle Scholar
  • Prasad A., Stecke K. E., Zhao X. Advance selling by a newsvendor retailer. Production Oper. Management (2011) 20(1):129–142CrossrefGoogle Scholar
  • Sainam P., Balasubramanian S., Bayus B. L. Consumer options: Theory and an empirical application to a sports market. J. Marketing Res. (2010) 47(3):401–414CrossrefGoogle Scholar
  • Shani Y., Tykocinski O., Zeelenberg M. When ignorance is not bliss: How feelings of discomfort promote the search for negative information. J. Econom. Psych. (2008) 29(5):643–653CrossrefGoogle Scholar
  • Simonson I. The influence of anticipating regret and responsibility on purchase decisions. J. Consumer Res. (1992) 19(1):105–118CrossrefGoogle Scholar
  • Su X. Intertemporal pricing with strategic customer behavior. Management Sci. (2007) 53(5):726–741LinkGoogle Scholar
  • Su X. A model of consumer inertia with applications to dynamic pricing. Production Oper. Management (2009a) 18(4):365–380CrossrefGoogle Scholar
  • Su X. Consumer returns policies and supply chain performance. Manufacturing Service Oper. Management (2009b) 11(4):595–612LinkGoogle Scholar
  • Su X. Optimal pricing with speculators and strategic consumers. Management Sci. (2010) 56(1):25–40LinkGoogle Scholar
  • Syam N., Krishnamurthy P., Hess J. D. That's what I thought I wanted? Miswanting and regret for a standard good in a mass-customized world. Marketing Sci. (2008) 27(3):379–397LinkGoogle Scholar
  • Xie J., Shugan S. M. Electronic tickets, smart cards, and online prepayments: When and how to advance sell. Marketing Sci. (2001) 20(3):219–243LinkGoogle Scholar
  • Yu M., Kapuscinski R., Ahn H. Advance selling: The effect of capacity and customer behavior. (2008) . Working paper, University of Michigan, Ann ArborGoogle Scholar
  • Zeelenberg M. The use of crying over spilled milk: A note on the rationality and functionality of regret. Philos. Psych. (1999) 12(3):325–340CrossrefGoogle Scholar
  • Zeelenberg M., Pieters R. Consequences of regret aversion in real life: The case of the Dutch postcode lottery. Organ. Behav. Human Decision Processes (2004) 93(2):155–168CrossrefGoogle Scholar
  • Zeelenberg M., van Dijk W. W., Manstead A. S. R., van der Pligt J. On bad decisions and disconfirmed expectancies: The psychology of regret and disappointment. Cognition Emotion (2000) 14(4):521–541CrossrefGoogle Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.