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The Effects of Acculturation on Consumers' Sensitivity to Prices
Journal article   Peer reviewed

The Effects of Acculturation on Consumers' Sensitivity to Prices

Rajneesh Suri and Rajesh V. Manchanda
Journal of international consumer marketing, v 13(1), pp 35-56
01 Dec 2000

Abstract

acculturation consumer behavior cross-cultural Pricing
This study drew upon anthropological learning models, research in cross-cultural psychology, and research in pricing to understand how an immigrant population's learning of a new culture and its norms affects their evaluation of price information and price acceptability for products offered in the host culture. Specifically, this study used a survey methodology to examine the effects of acculturation on the price sensitivity of Asian-Indian consumers. The survey included measures of participants' acculturation levels (measured by the SL-ASIA scale), price acceptability and prior knowledge. Findings suggest that as Asian-Indians' acculturation levels increase, higher prices become more acceptable. In particular, this appears to be true more for Asian-Indian females than males. With increasing acculturation the range of acceptable prices of the highly acculturated Asian-Indian consumers started to resemble those of the U. S. sample, hence supporting thelearning modelsof acculturation.

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