Analysis Of Influence Of Consumer Transaction Perception Of Basic Commodity On The Willingness To Pay The Accessory

We reason that when consumers engage in a two-sides trading, they are likely to perceive the basic transaction value as highly important and spend a considerable amount of resources on its price. Because of people have limited resources at a given time, more resources allocated to the more important task would result in fewer resources available to respond to a less important task (Einstein and McDaniel1987; Zhu and Meyers-Levy2005). This implies that a trade-in consumer will have few resources left to negotiate the price of the Accessory trading and thus should be more tolerant of a high purchase price. On the basis of these arguments, we expect that a two-sides trading consumer and a buying alone consumer (i.e. someone is only buying his or her accessory) should exhibit comparable levels of the willingness-to accept price for their accessory, a two-sides trading consumer should reveal a higher willingness-to-pay price for the new product than a consumer who is only buying the new product. However, this effect should disappear when consumers regard the basic trading to be of low importance.One specific heuristic that many consumers might use to process partitioned prices is anchoring and adjustment, which has been identified as a method consumers can use to simplify the task of processing multiple pieces of information(Chapman and Johnson1996; Tversky and Kahneman1974). Decision makers often overweight the anchored information and make insufficient adjustments for the remaining information (Jacowitz and Kahneman1995; Lichtenstein arid Slovic1971; Tversky and Kahneman1974:Wilson et al.1996).In partitioned pricing, we believe that consumers are likely to anchor on the base price and then tend to adjust insufficiently upward to incorporate for the surcharge, for the following reasons:First, decision makers often anchor a perception on the first piece of information they encounter and then adjust for later information (Hogarth and Einhorn1992; Tversky and Kahneman1974). In the context of partitioned prices, consumers generally are exposed to base prices prior to surcharges. For example, this occurs if consumers read base prices before surcharges. Second, there is evidence that people tend to anchor on the piece of information they perceive is most important and then adjust this perception for less important information (Yadav1994). If consumers believe that surcharges are less important than the base price (e.g., because surcharges tend to be much less than base prices), they will tend to anchor on the base price and adjust insufficiently for the surcharge.H1:The two-sides trading consumers exhibit comparable levels of willingness-to-accept prices toward their basic commodity as those who only buying their used productH2:The two-sides trading consumers with exhibit comparable levels of willingness-to-accept prices toward their basic commodity and a higher willingness-to-pay price toward the accessory than those who are only buying the accessory..H3:Perceived satisfaction toward the accessory transaction mediates the effect hypothesized in H1The goal of this research is to proved3hypothesizes below and to examine how comsumers engaged in the two-sides trading might affect consumers’ willingness-to-pay price for accessory. On the basis of the literature—in particular, mental accounting principles—we propose that the two side-trading consumers view getting a good value on their basic commodities to be particularly important and therefore spend a considerable amount of resources on it. As a result, they are left with few resources for the new product transaction and therefore exhibit a higher willingness-to-pay price for the accessory than consumers who are only buying the accessory.In the past, the main purpose of accessory was expanding product function, but accessory has been improved today used to increase consumer demand, and increase corporate profits. Research about mental accounting seldom concern in this area, and the research about partition pricing is just from how price changes affect the psychological and decision-making process, not from the psychological impact on consumers engaged in a two-sides trading, The price of consumer awareness and to study the process of change. In this study, we actually got this theory, when consumers engaged in a two-sides trading their perceived importance of primary commodities and the satisfaction of the main commodities will improve their willingness-to-pay price for accessory, there are two guiding significance factors for the trading. First, the dealer sales of additional products is the best time to deal with the main commodity at the same time, try to finish the two transactions as quickly as possible. Second, the business actually possible to increase consumer satisfaction with the main commodities, the use of sub-standard pricing of theoretical support, we believe that giving a discount to some extent the main commodities can improve the consumer Satisfaction, scattered attention of consumers, promoting additional product sales. This study provides the public with a two guiding ideology.The first, when consumers buy the main product and additional purchases of goods separately, they can avoid paying a unfair price for additional merchandise. Second, the theory of mental accounting tell us, we attempt to address a potentially important public policy issue—namely, whether there is anything that consumers should do to avoid paying a higher price for the accessory trading if they are educated about the trading process.