Pricing and Consumers in a Changing World

This chapter will explore key behavioral aspects of pricing, drawing on links to the rapidly changing world of technology. Specifically, the chapter will begin by contrasting traditional perspectives on price with more contemporary perspectives on price; it will then examine the notion of perceived value and its multifaceted nature. The chapter will then outline the key behavioral aspects of price including internal and external reference prices, pricing and consumer perceptions of fairness, price endings, decreasing and increasing price, price–quality perceptions, and consumer price knowledge.