Confined Shopping Behavior among Low Income Consumers: An Empirical Test

1978 ◽  
Vol 15 (1) ◽  
pp. 11-19 ◽  
Author(s):  
Arieh Goldman
Keyword(s):  
Low Income ◽  
Empirical Test ◽  
Main Tool ◽  
Shopping Behavior ◽  
Small Subset ◽  
Lower Income ◽  
Herfindahl Index ◽  
Low Income Consumers

The study investigates whether lower income consumers show a greater tendency to confine their furniture and ladies’ shoes purchases to a subset of the retailing system. The Herfindahl index of concentration is the main tool used to measure confinement. The study finds that the lower income consumers do not confine their purchases to a small subset nor are their purchases restricted to the smaller and lower quality stores.

Does Lower Income Affect the Development of One's Innovative Ability in the Education Niche

2022 ◽  
pp. 147-172
Author(s):  
Bibi Zaheenah Chummun
Keyword(s):  
Low Income ◽  
Sustainable Livelihoods ◽  
Well Being ◽  
Emerging Countries ◽  
Lower Income ◽  
Government Officials ◽  
Income Insurance ◽  
Collective Innovation ◽  
Low Income Consumers

The need of using creative and innovative education strategies in the low-income consumer setting has never been felt until this wake of the pandemic to assist for sustainable well-being. In this chapter, the role of improved education as a collective innovation measure in promoting awareness of the inclusive cover to the low-income consumers in the emerging countries will be perused in the wake of the 2019-nCoV virus in their struggle to cope with the unexpected management of risks in a more calculated way. The study provides the education challenges in the low-income insurance area posed to both consumers and providers and explains how their involvement is important through innovative programmes in the low-income cover niche such as digitalization amongst others. Since education indeed plays a huge role in enhancing participation in this field of low-income cover to entail sustainability, it will be wise that the policymakers, government officials, and others work closely with their consumers so that this problem can assist for sustainable livelihoods.

scholarly journals Ive Wanted A BMW Since I Was A Kid: An Exploratory Analysis Of The Aspirational Brand

2014 ◽  
Vol 31 (1) ◽  
pp. 331 ◽  
Author(s):  
Philip J. Trocchia ◽  
Ruby Q. Saine ◽  
Michael G. Luckett
Keyword(s):  
Baby Boomers ◽  
Low Income ◽  
Exploratory Analysis ◽  
Diverse Group ◽  
Lower Income ◽  
Men And Women ◽  
Luxury Brand ◽  
Males And Females ◽  
Low Income Consumers

Although aspirational brands are commonly referred to in the business literature, no consistent definition exists for the term. Further, aspirational brand is often used interchangeably with the term luxury brand. This study aims to conceptually define the term aspirational brandand delineate it from the well-established term luxury brand. A sample of 452 consumers were asked to provide five examples of luxury and aspitational brands. Responses from Baby Boomers and Millennials, males and females, and high-income and low-income consumers were compared. By asking a diverse group of consumers to provide examples of the two types of brands, we provide quantifiable evidence for the existence of two related but separate concepts. Sixty three percent more brands were named as aspirational than as luxury, lending support to the notion that a consumers classification of a brand as aspirational is more a function of internal influences than his or her classification of a brand as luxury. Further, differences were found between Millennials and Baby Boomers, men and women, and upper and lower income participants in terms of which brands they consider to be aspirational.

The Role of Behavioral Frictions in Health Insurance Marketplace Enrollment and Risk: Evidence from a Field Experiment

2021 ◽  
Vol 111 (5) ◽  
pp. 1549-1574
Author(s):  
Richard Domurat ◽  
Isaac Menashe ◽  
Wesley Yin
Keyword(s):  
Health Insurance ◽  
Field Experiment ◽  
Positive Selection ◽  
Adverse Selection ◽  
Low Income ◽  
Market Risk ◽  
Selection Model ◽  
Heterogeneous Effects ◽  
Low Income Consumers

We experimentally varied information mailed to 87,000 households in California’s health insurance marketplace to study the role of frictions in insurance take-up. Reminders about the enrollment deadline raised enrollment by 1.3 pp (16 percent) in this typically low take-up population. Heterogeneous effects of personalized subsidy information indicate misperceptions about program benefits. Consistent with an adverse selection model with frictional enrollment costs, the intervention lowered average spending risk by 5.1 percent, implying that marginal respondents were 37 percent less costly than inframarginal consumers. We observe the largest positive selection among low income consumers, who exhibit the largest frictions in enrollment. Finally, we estimate the implied value of the letter intervention to be $25 to $53 per month in subsidy dollars. These results suggest that frictions may partially explain low take-up for marketplace insurance, and that interventions reducing them can improve enrollment and market risk in exchanges. (JEL C93, G22, G52, H75, I13)

Regulatory focus and construal level theory on low-income consumer indebtedness: Evidence from an emerging market

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Patrícia de Oliveira Campos ◽  
Marconi Freitas da Costa
Keyword(s):  
Decision Making ◽  
Low Income ◽  
Regulatory Focus ◽  
Task Complexity ◽  
Emerging Market ◽  
Psychological Distance ◽  
Construal Level Theory ◽  
Construal Level ◽  
Content Type ◽  
Low Income Consumers

PurposeThis study aims to further analyse the decision-making process of low-income consumer from an emerging market by verifying the influence of regulatory focus and construal level theory on indebtedness.Design/methodology/approachAn experimental study was carried out with a design 2 (regulatory focus: promotion vs prevention) × 2 (psychological distance: high vs low) between subjects, with 140 low-income consumers.FindingsOur study points out that the propensity towards indebtedness of low-income consumer is higher in a distal psychological distance. We found that promotion and prevention groups have the same propensity to indebtedness. Moreover, we highlight that low-income consumers are prone to propensity to indebtedness due to taking decisions focused on the present with an abstract mindset.Social implicationsFinancial awareness advertisements should focus on providing more concrete strategies in order to reduce decision-making complexity and provide ways to reduce competing situations that could deplete self-regulation resources. Also, public policy should organize educational programs to increase the low-income consumer's ability to deal with personal finances and reduce this task complexity. Finally, educational financial programs should also incorporate psychology professionals to teach mindfulness techniques applied to financial planning.Originality/valueThis study is the first to consider regulatory focus and construal level to explain low-income indebtedness. This paper provides a deeper analysis of the low-income consumers' decision process. Also, it supports and guides future academic and decision-making efforts.

Assessing algorithms for selecting countries to market new products to low-income consumers

2013 ◽  
Vol 3 (4) ◽  
pp. 1-12
Author(s):  
Michael D Metzger ◽  
Arch G. Woodside ◽  
John C. Ickis
Keyword(s):  
Emerging Markets ◽  
New Product Development ◽  
Low Income ◽  
Food Packaging ◽  
New Products ◽  
Subject Area ◽  
Bottom Of The Pyramid ◽  
Content Type ◽  
Decision Tools ◽  
Low Income Consumers

Title – Assessing algorithms for selecting countries to market new products to low-income consumers. Subject area – A consulting team to an international food packaging company (SDYesBox) is attempting to decide which algorithm is the most useful for selecting two national markets in Central America and the Caribbean. SDYesBox wants to work closely with its immediate customers – manufacturers in the dairy and food industry and their customers (retailers) – to develop and market innovative products to low-income consumers in emerging markets; the “next big opportunity for the dairy industry” according to SDYesBox. Study level/applicability – New product development and market selection in emerging markets in Latin America. Case overview – Five algorithms are “on the table” for assessing 14 countries by 12 performance indicators: weighted-benchmarking each country by the country leader ' s indicator scores; tallying by ignoring indicator weights and selecting the countries having the greatest number of positive standardized scores; applying a conjunctive and lexicographic combination algorithm; and using a “fluency metric” of how quickly consumers can say each country aloud. At least one member of the consulting team is championing one of these five algorithms. Which algorithm do you recommend? Why? Expected learning outcomes – Learners gain skills, insights, and experience in alternative decision tools for evaluating and selecting choices among emerging markets to enter with new products for low-income (bottom of the pyramid) products ands services. Supplementary materials – Teaching notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes.

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