The social and ethical consequences of a calculative mindset

Wang, Long; Zhong, Chen Bo; Murnighan, J. Keith

doi:10.1016/j.obhdp.2014.05.004

Cited by 76 publications

(61 citation statements)

References 58 publications

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“…It extends multiattribute models of consumer decision-making in economics (8-10), psychology (11)(12)(13), and marketing (14,15) to both charitable giving and motivation crowding-out contexts. In addition, the proposed role of donor mindsets extends previous literature in psychology (16,17) by suggesting that these mindset effects may be mediated by saliency and attention.…”

Section: Literature Reviewsupporting

confidence: 72%

“…Prior research suggests that individuals do not use cost-benefit mindsets for social decisions, but they do once a monetary incentive is mixed into the decision (16). Similar research in marketing suggests that a "calculative" mindset will lead to more selfish and less socially oriented decisionmaking (17). Therefore, any shift toward a cost-benefit mindset would have led to further decreases in the weight placed on intrinsic motives, thus increasing the possibility of crowding out.…”

Section: Interpretation and Possible Mechanismsmentioning

confidence: 99%

“…Consequently, the insert may cause prospective donors to overweight the extrinsic incentive while underweighting less salient intrinsic motives. This change in attention may also shift the individual from a prosocial mindset to a more cost-benefit mindset (16,17), leading to further de-emphasis of intrinsic motives. These effects would reduce an individual's net motivation to donate, leading to lower donation rates and/or donation amounts.…”

mentioning

confidence: 99%

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Demotivating incentives and motivation crowding out in charitable giving

Chao

2017

Proc. Natl. Acad. Sci. U.S.A.

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Research has shown that extrinsic incentives can crowd out intrinsic motivation in many contexts. Despite this, many nonprofits offer conditional thank-you gifts, such as mugs or tote bags, in exchange for donations. In collaboration with a nonprofit, this study implements a direct mail field experiment and demonstrates that thank-you gifts reduced donation rates in a fundraising campaign. Attention-based multiattribute choice models suggest that this is because prospective donors shift attention to the salient gift offer, causing them to underweight less salient intrinsic motives. Attention to the gift may also cause individuals to adopt a more cost-benefit mindset, further de-emphasizing intrinsic motives. Consistent with these hypotheses, crowding out was driven by those who donated higher amounts in the previous year (i.e., those who likely had higher intrinsic motivation). In a complementary online experiment, thank-you gifts also reduced donation rates but only when the gift was visually salient. This corroborates the mediating role of attention in crowding out. Taken together, the laboratory and field results demonstrate that this fundraising technique can be demotivating in some contexts and that this may occur through an attention-based mechanism.motivation crowding out | charitable giving | multiattribute choice | attention | saliency

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Section: Literature Reviewsupporting

confidence: 72%

Section: Interpretation and Possible Mechanismsmentioning

confidence: 99%

mentioning

confidence: 99%

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Demotivating incentives and motivation crowding out in charitable giving

Chao

2017

Proc. Natl. Acad. Sci. U.S.A.

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“…Research shows that different customers have different attachment styles (Mende et al 2013), and they can also be differentially calculative (Wang, Zhong, and Murnighan 2014), suggesting variation in affective and economic commitment. However, research has yet to fully explore how individual differences interact with different types of commitment in influencing customer loyalty.…”

Section: Future Research Directionsmentioning

confidence: 99%

A Five-Component Customer Commitment Model

Keiningham

Frennea

Aksoy

et al. 2015

Journal of Service Research

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Empirical studies in marketing conceptualize commitment as a three-component construct comprised of affective, normative, and calculative commitment. We develop and empirically test a five-component typology of consumer commitment-affective, normative, economic, forced, and habitual commitment. The broadened conceptualization of commitment is tested using qualitative and quantitative studies with data from 9,000 consumers and 10 countries. The broadened five-component commitment model demonstrates high levels of reliability, convergent and discriminant validity, and stability, as well as unique associations with repurchase intentions. Managerially, it provides a roadmap for optimizing commitment: while forced commitment should be minimized, economic and habitual commitment should be enhanced. These prescriptions vary for goods and services. Namely, affective, normative, and habitual commitment exhibit stronger positive effects on repurchase intentions for goods than for services; the opposite pattern is found for economic commitment. By showing how managers should optimize specific commitment dimensions rather than simply maximize overall commitment, while accounting for contextual factors such as differences between goods and services, our results provide an actionable strategic blueprint for firms' customer commitment strategy.Chief executives and marketing officers today understand the importance of improved repurchase intentions due to their financial implications (Mittal and Frennea 2010). One important driver of repurchase intentions is customer commitment (Moorman, Zaltman, and Deshpande 1992), which can also insulate firms from the deleterious impact of negative events like product failures and corporate scandals (Mittal, Sambandam, and Dholakia 2010).Early marketing studies treated commitment as a unidimensional construct (e.g., Garbarino and Johnson 1999;Moorman et al. 1992), while later studies conceptualized a three-component model of commitment, namely, affective commitment, calculative commitment, and normative commitment (see Table 1 for summary). However, as described subsequently, the threecomponent model of commitment may be inadequate for marketing and services contexts because it was primarily developed for organizational psychology (Allen and Meyer 1990). We propose and test a five-component model consisting of affective commitment, normative commitment, economic commitment, forced commitment, and habitual commitment based on an analysis of the literature and in-depth consumer interviews (Study 1, N ¼ 15). We empirically test our model in two, largescale studies: Study 2 is set in the United States (N ¼ 3,019; seven industries), while Study 3 spans nine countries (N ¼ 8,322; three industries).Theoretically and managerially, our research provides several insights. First, we expand the three-component model in two important ways. We disentangle and supplant calculative commitment with two independent dimensions-economic (based on high financial or economic sacrifice) and forced (based on a perc...

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“…The reason for this causal relationship is that the mere exposure to money makes people adopt a business decision frame in which decisions are more calculative. In addition, other recent research has further demonstrated that people with a calculative mind set act in more selfish and unethical ways (Wang, Zhong, & Murnighan, 2014).…”

Section: The Impact Of the Situationmentioning

confidence: 99%

Managing unethical behavior in organizations: The need for a behavioral business ethics approach

Cremer

Vandekerckhove

2016

Journal of Management & Organization

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Issues of morality and ethics have increasingly become more important in organizations and business settings. Traditionally, these issues of ethics and social responsibility in business settings have been discussed and commented on by prescriptive approaches that are grounded in philosophical traditions. Building on the idea that we need to develop a more comprehensive and complete understanding of the value that people assign to ethics and how it influences their actions and decisions, in the present article we discuss and review the importance and relevance of adopting also a descriptive approach that is grounded in the behavioral sciences (referred to as behavioral business ethics). This approach has the advantages to promote our insights into how people can show both good and bad behavior and why this is the case. Behavioral business ethics therefore represents an important research challenge for organizational researchers to pursue and engage more meaningfully with more prescriptive approaches.

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The social and ethical consequences of a calculative mindset

Cited by 76 publications

References 58 publications

Demotivating incentives and motivation crowding out in charitable giving

Demotivating incentives and motivation crowding out in charitable giving

A Five-Component Customer Commitment Model

Managing unethical behavior in organizations: The need for a behavioral business ethics approach

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