Title: Effects of providing total cost of ownership information on attribute weights in purchasing decisions
Authors: Morssinkhof, Sebastiaan ×
Wouters, Marc
Warlop, Luk #
Issue Date: 2011
Publisher: Pergamon
Series Title: Journal of Purchasing and Supply Management vol:17 issue:2011 pages:132-142
Abstract: Total Cost of Ownership (TCO) involves the monetary quantification of nonfinancial attributes and the
subsequent aggregation of these attributes into a financial summary measure. We consider monetary quantifications that are not perfect, because some attributes are missing from the TCO information. We investigate how the provision of TCO information affects attribute weights, and how this effect is moderated by the Comprehensiveness of quantification and the decision-maker’s experience. We
conducted experiments with 817 participants, both students and managers. We found that student participants were more inclined to give a higher weight to the attribute missing from the TCO information, while the practitioner participants tended to give less weight to the missing attribute. Within the group of practitioners, the pattern was strongest for the most experienced practitioners. The
results suggest that experienced decision makers might be less mindful of the imperfections of monetary quantification.
ISSN: 1478-4092
Publication status: published
KU Leuven publication type: IT
Appears in Collections:Research Centre for Marketing and Consumer Science, Leuven
× corresponding author
# (joint) last author

Files in This Item:
File Description Status SizeFormat
2011-12-09 - PURSUP274.pdf Published 462KbAdobe PDFView/Open Request a copy

These files are only available to some KU Leuven Association staff members


All items in Lirias are protected by copyright, with all rights reserved.

© Web of science