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Does the type of power impact customers' expectations of quality and price?

Brenne, Bjørnar; Lad, Jonas Gjerstad
Master thesis
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2606867.pdf (2.025Mb)
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https://hdl.handle.net/11250/2687458
Utgivelsesdato
2020
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  • Master of Science [963]
Sammendrag
This study was conducted to examine whether different types of power (expertise,

switching costs) leads to a difference in expected quality and fair price

perceptions. Additionally, does sense of power mediate the relationship between

types of power, expected quality and fair price estimations. A fitness club was

utilized as a service context through an experimental survey to investigate the

relationships. Findings depicted subjects with high expertise are more prominent

to evaluate the price as fair. The results found no evidence of switching costs nor

sense of power to influence subjects expected quality and fair price. Additional

findings displayed expected quality to mediate the relationship between expertise

and fair price estimations. As none of the hypotheses were supported, the main

implication for this study is expertise and the effects on expected quality and fair

price. Managers could enhance this by sharing sources of training information or

informing the customers regarding how the various equipment can be used in the

best manner. Consequently, customers` get a better understanding of the pricesetting

based on the quality that is delivered.
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Masteroppgave(MSc) in Master of Science in Strategic Marketing Management - Handelshøyskolen BI, 2020
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Handelshøyskolen BI

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