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Transportation Dissertation

Title Promotion or Prevention: Effect of Information Contents on New Product’s Perceived Risk
Year 2008
Summary

Wei-Yi Lee, 2008.06
Department of Transportation Technology and Management National Chiao Tung University

  Previous researches have studied on why consumers feel negative when they face the new products. And the answer is they feel uncertain about the new products. If company can offer enough information of the new products, it may reduce such problem. However, fewer previous researches have studied on which part of the uncertainty is consumers’ most concerned, and whether the different feelings or not when company illustrates product information in different ways. This study treats uncertainty as some kinds of perceived risk. We assumed consumers’ perceived risk about new products is not only composed of the risks that previous studies generally discussed, but also composed of learning risk. In order to improve consumers’ evaluation of new products, this study attempt to analyze the components of new products’ perceived risk. In addition, this study attempt to analyze the consumer's perceived risk effect of different illustrations of information contents: one from increasing positive advantage point of view, the other from reducing negative disadvantage. This study showed that consumers will perceive not only general risks, such as financial, performance, physical, social, psychological risk, but also learning risks, when they purchase new products. And general risks are more related to perceived usefulness, while learning risks are more related to perceived ease of use. In addition, offering prevention-focused information will let consumers feel less general risks, while offering promotion-focused information will let them feel less learning risks. Therefore, it is obvious that different information contents have different influence on consumer's perceived risk. Finally, according to the results, this study discussed some relevant management implications and suggestions for future studies.
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