| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 7420281 | Journal of Hospitality and Tourism Management | 2018 | 9 Pages |
Abstract
The widespread use of prices ending with a 9 (e.g. $7.99) is well documented in the Western context, particularly in North America. However, price ending is somewhat different in Asian cultures, with the overrepresentation of 8-ending prices. The rationale behind such practice is generally not well understood in the hospitality industry. Thus, the aim of this study is to explore managerial beliefs regarding price ending strategies in Asia, particularly Chinese speaking communities. Semi-structured interviews were conducted with prominent hospitality leaders in Macao. Results from thematic analysis of the interview data indicated four common reasons for employing 8-ending prices: a) luck & fortune, b) market norm; c) appealing; d) value image. These findings should extend existing theoretical explanations for 8-ending prices beyond quality and value image to provide useful reference price ending strategies for the hospitality industry.
Keywords
Related Topics
Social Sciences and Humanities
Business, Management and Accounting
Tourism, Leisure and Hospitality Management
Authors
Henrique Fátima Boyol Ngan, Lianping Ren, Grant O'Bree,