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Do cultural differences affect voluntary payment decisions? Evidence from guided tours

Anna Kukla-Gryz, Peter Szewczyk and Katarzyna Zagórska ()
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Peter Szewczyk: Faculty of Economic Sciences, University of Warsaw; ; Group for Research in Applied Economics (GRAPE)

No 2018-06, Working Papers from Faculty of Economic Sciences, University of Warsaw

Abstract: We provide an empirical explanation for cross-country differences in the size of the voluntary payments made for a good offered in a Pay-What-You-Want payment scheme. Using a sample of almost 500 international travellers from 50 nations participating in a guided tour that uses a voluntary payment method, we analyse the relationship between the size of the average voluntary payments and national values defined by Hofstede’s Cultural Dimensions (1983) as well as selected values from the World Value Survey (WVS). Strong correlations between certain cultural values and average payment sizes are found.

Keywords: pay what you want; cultural dimensions; pricing strategies; participative pricing (search for similar items in EconPapers)
JEL-codes: D12 D91 Z19 (search for similar items in EconPapers)
Pages: 20 pages
Date: 2018
New Economics Papers: this item is included in nep-cul
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Handle: RePEc:war:wpaper:2018-06