Firms do not typically disclose information on their costs to produce a good to consumers.However, we provide evidence of when and why doing so can increase consumers' purchase interest. Specifically, building on the psychology of disclosure and trust, we posit that cost transparency, insofar as...

While selfish incentives typically outperform prosocial incentives, in the context of customer referral rewards, prosocial incentives can be more effective. Companies frequently offer “selfish” (i.e., sender-benefiting) referral incentives, offering customers financial incentives for...