In a Survey of Consumers, Daniel Kaheman, Jack Knetsch and Richard

question 257

Multiple Choice

In a survey of consumers, Daniel Kaheman, Jack Knetsch and Richard Thaler asked their opinion of a hardware store's decision to

• A) go out of business because a larger hardware store opened in the same city; 82 percent of those surveyed believed it was unfair for the larger store to compete with the smaller store.
• B) raise the price of snow shovels the day following a snowstorm; 82 percent of those surveyed believed this was unfair.
• C) sell tickets to sporting and cultural events at prices higher than prices paid at the ticket windows for the same events; 82 percent of those surveyed believed this was unfair.
• D) remain in business even though the store was not making an economic profit; 82 percent of those surveyed believed it would be unfair for the store to go out of business if there no other hardware stores in the same area.

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Definitions:

Likert Scale

A psychometric scale commonly involved in research that employs questionnaires, used to represent people's attitudes or feelings on a linear scale.

Semantic Differential

A type of scale used for measuring the meaning of things and concepts, involving a series of bipolar adjectives.

Wendy's Survey

A method of gathering customer feedback implemented by the Wendy's fast-food restaurant chain, often for quality improvement or market research purposes.

Fast-Food Restaurant

A type of restaurant that offers quick service, convenience, and food that is prepared and served quickly to the customer, often at a lower cost compared to full-service establishments.