Retail pricing : an integrated economic and psychological approach

Abstract: This dissertation is an attempt to develop an integrated economic and psychological framework for the study of retail pricing, particularly of convenience type goods. Empirical data on pricing by firms and buyers’ psychological reaction to pricing are analyzed in relation to the ideas set forth. The implications of pricing for both the price-setting firm and buyers are dealt with. A more differentiated operational analysis of retail pricing is advocated, which, more than traditionel economic models, simultaneously considers the time, assortment and psychological dimensions of pricing.