The Impact of Service Firm’s Environmentally Friendly Reputation in the Context of Revenue Management

Choongbeom Choi and Miyoung Jeong
Additional contact information
Choongbeom Choi: College of Hospitality and Tourism, Sejong University, Seoul 05006, Korea
Miyoung Jeong: College of Hospitality, Retail and Sport Management, University of South Carolina, Columbia, SC 29425, USA

IJERPH, 2020, vol. 17, issue 17, 1-12

Abstract: In revenue management practice, customers’ perceived fairness is a critical issue. Prior research examined the effect of revenue management on customers’ perceptions of fairness by implementing two different conditions: fencing and framing. In this study, the authors evaluated the role of a service firm’s environmentally friendly reputation under the conditions of fencing and framing. Results indicated that an environmentally friendly reputation only moderated the effect of framing on perceived fairness. In particular, when the firm had a poor reputation, framing as a discount rather than framing as a surcharge increased customers’ fairness perceptions. When the firm had a good reputation, however, customers’ perception of fairness did not differ across two framing conditions. The findings of this study help firms to understand how customers perceive fairness in revenue management practice.

Keywords: environmentally friendly reputation; revenue management; perceived fairness; rate framing; rate fencing (search for similar items in EconPapers)
JEL-codes: I I1 I3 Q Q5 (search for similar items in EconPapers)
Date: 2020
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/1660-4601/17/17/6264/pdf (application/pdf)
https://www.mdpi.com/1660-4601/17/17/6264/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jijerp:v:17:y:2020:i:17:p:6264-:d:405388

Access Statistics for this article

IJERPH is currently edited by Ms. Jenna Liu

More articles in IJERPH from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().