This paper examines the persuasiveness of assertive language (as in Nike’s slogan “Just do it”) as compared to nonassertive language (as in Microsoft’s slogan “Where do you want to go today?”). Previous research implies that assertive language should reduce consumer compliance. Two...

This paper examines how consumers' willingness to pay for goods is determined by past patterns of consumption. The central result is a theorem of interior maximum, which states that willingness to pay for a good is maximized at a moderate level of habitual consumption. The theorem is derived...

We propose that ambiguity aversion, as introduced in the literature on decision making under uncertainty, drives a preference for established brands in multiattribute choices among branded alternatives. Established brands are those for which belief in quality is held with greater confidence,...