Purpose: Inaction inertia is the phenomenon in which people are less likely to accept an opportunity after having previously missed a relatively superior one. This research explores how framing quantity promotions as either a freebie (e.g. “buy 1, get 1 free”) or a price bundle (e.g. “buy...

Purpose: Taking a mental accounting theory perspective, this study explores how pricing strategy (all-inclusive vs partitioned) influences consumers' perceived residual value of a product and their subsequent intentions to upgrade to a newer model. Design/methodology/approach: A pilot study and...

Purpose: Based on mental accounting theory, this study explored whether the comparability of missed and subsequent promotional formats/frames affects inaction inertia. Design/methodology/approach: Four experiments with imaginary and incentive-compatible designs were conducted to test the...