The reliance on donations to build inventory distinguishes nonprofits from traditional retailers. This reliance on consumer donations means these organization face an inherently more volatile supply chain than retailers who source inventory from manufacturers. The authors propose that consumer...

Although corporate social responsibility (CSR) has significant benefits for firms, firms also regularly make decisions about scaling back or discontinuing CSR initiatives. We conduct a series of experiments to examine whether investors react differently to stopping socially responsible...

Attribute information is not always readily available to consumers. This is especially true for ethical attributes, such as labor practices, environmental friendliness, and so forth. Intuitively, it might be expected that consumers who would use an attribute in their decision making should seek...

Consumers often browse through many products (a product context) before evaluating a particular target product. We examine the influence of four product context characteristics on happiness with a target product: pleasantness, sequence, domain match with target (i.e., whether products in the...

Across four studies, including one involving an actual monetary decision, the authors demonstrate that forming a product consideration set by excluding versus including alternatives induces consumers to place more weight on ethical attributes, such as company labor practices and animal testing....

Iacobucci, Posovac, Kardes, Schneider, and Popavich (2015a) published a defense of median splits. We (McClelland, Lynch, Irwin, Spiller, and Fitzsimons 2015) and Rucker, McShane, and Preacher (2015) published criticism of each of the key conclusions from Iacobucci et al. Iacobucci et al. (2015b)...

This paper reports on three laboratory experiments designed to investigate the roles of decision costs and rewards on the accuracy of economic decisions. The experimental vehicle is a purchase decision employing the Becker-DeGroot-Marshak (BDM) mechanism. The first experiment verifies the...

In general, investors respond favorably to firms’ ongoing ESG initiatives. In three experiments, we examine whether their reactions differ across the lifecycle of ESG initiatives. In particular, we predict and find evidence of an “ESG stopping effect.” Even when investors react similarly...

Considerable prior statistical work has criticized replacing a continuously measured variable in a general linear model with a dichotomy based on a median split of that variable. Iacobucci, Posovac, Kardes, Schneider, and Popovich (this issue) defend the practice of “median splits” using...