Perceived financial constraints and normative influence: discretionary purchase decisions across cultures

Five studies examine how perceived financial constraints and abundance determine when consumers will engage in solitary or social purchases. When financially constrained, consumers prefer solitary (vs. social) purchases. We also identify self-construal as a moderator of how consumers spend their discretionary income. While independent consumers prefer solitary (vs. social) purchases, interdependent consumers prefer social (vs. solitary) purchases. Interestingly, when consumers have adequate discretionary income, independent as well as interdependent consumers have similar preferences for solitary and social purchases. In addition, for interdependent consumers, communal norms mediate the preference for social purchases. Finally, for independent consumers, making the communal norm salient reverses their preference for solitary purchases, resulting in a preference for social purchases. Our findings suggest how managers can effectively promote different types of purchases under varying financial resource conditions in their global communication strategy.

Automated summary

Financial constraints influence consumer preferences for solitary or social purchases, with independent consumers preferring solitary purchases and interdependent consumers preferring social purchases. Self-construal moderates how consumers spend discretionary income, showing that communal norms play a role in mediating the preference for social purchases among interdependent consumers, while salient communal norms can change the preference for solitary purchases among independent consumers.