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Author:Naipaul, S.
Parsa, H. G.
Title:Menu price endings that communicate value and quality
Journal:Cornell Hotel and Restaurant Administration Quarterly
2001 : VOL. 42:1, p. 26-37
Index terms:Restaurants
Service quality
Prices
Language:eng
Abstract:The paper investigates the extent to which restaurant marketers use the price endings .00 and .09 to communicate quality and value images, and whether consumers use those price endings as information cues when choosing where to dine out. The experimental data shows that marketers probably rely on price cues and that consumers use those cues. The paper discusses three theories that might explain why consumers associate the price endings 0 and 9 with quality and value; the Schemer Schema Intuitive theory, the Persuasion Knowledge Model, and signaling theory.
SCIMA record nr: 221011
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