Luk Warlop | KU Leuven (original) (raw)

Papers by Luk Warlop

What is self-awareness and why is it important? Self-awareness is critical for buyers and sellers... more What is self-awareness and why is it important? Self-awareness is critical for buyers and sellers because self-focused attention makes people more conscious of their attitudes and beliefs (Duval and Wicklund 1972). Social psychologists have investigated the implications of self-awareness for a variety of basic social and cognitive processes (emotions, pro-social behavior, and group dynamics)(Gibbons 1990).

Abstract Although the influence of identity on consumer behavior has been documented in many stre... more Abstract Although the influence of identity on consumer behavior has been documented in many streams of literature, the absence of a consistent definition of identity and of generally accepted principles regarding the drivers of identity-based behavior complicates comparisons across these literatures. To resolve that problem, we propose a simple but inclusive definition of identity.

ABSTRACT-For many decisions, consumers need to consider the preferences of their relationship par... more ABSTRACT-For many decisions, consumers need to consider the preferences of their relationship partners. When buying a suitable gift for his wife, for instance, a husband presumably tries to predict his partner's attitudes towards the alternatives he considers. Also joint decisions will proceed much more smoothly when partners know each other's preferences. Because consumers value partner approval, partner's attitudes are even taken into account when they purchase for themselves, like in clothes shopping.

It is a fundamental human drive to understand who one is, what one believes and what one does. Th... more It is a fundamental human drive to understand who one is, what one believes and what one does. Therefore, pointing out that consumers like products, brands and consumption behaviors that are linked to category labels with which they self-associate is rather uncontroversial. For example, if consumers view themselves as “athletes”, they are likely to behave in ways that are consistent with what it means to “be” an athlete.

ABSTRACT This study explores the effect of operating and strategic management plans on goingconce... more ABSTRACT This study explores the effect of operating and strategic management plans on goingconcern judgments for distressed firms. Prior archival going-concern research (eg, Behn, Kaplan and Krumwiede, 2001) indicates that operating turnaround initiatives taken by a financially troubled firm (eg, cost-cutting) have a negative impact on auditors' going-concern judgments, whereas strategic initiatives (eg, new cooperative agreements with other firms) have a positive influence on auditors' going-concern judgments.

Abstract: This article addresses purchasing decisions and the use of total cost of ownership (TCO... more Abstract: This article addresses purchasing decisions and the use of total cost of ownership (TCO) information. TCO is based on a monetary quantification of nonfinancial attributes and aggregation into a summary measure (such as cost per hour, per wafer, or per kilometer). From an accounting point-of-view, one intricate issue is the accuracy of the monetary quantification and how this affects decision-making.

abstract Two experiments investigate the relations between advertising exposure, self-esteem and ... more abstract Two experiments investigate the relations between advertising exposure, self-esteem and materialism. Evidence is found that ads for luxury products may influence consumers' levels of materialism and self-esteem. Consumers who claim being able to buy advertised luxuries report increased levels of materialism and an enhanced self-esteem after the exposure. In contrast, not being able to buy advertised luxuries appears to threaten consumers' self-esteem and to diminish their materialistic pursuits.

This study reports the results of an experiment to investigate the value of increased cost report... more This study reports the results of an experiment to investigate the value of increased cost report accuracy in competitive pricing decisions. Prior work has shown that in more competitive environments, cost system choice matters less since there is opportunity to learn from infonnative market signals. Our study argues that in a dynamic duopoly, learning from such infonnative market signals is distorted when decision makers act as market leaders deciding first on prices. Compared to second movers (followers), a leader with a biased cost report continues to prefer his own distorted cost figures over the informative signals emanating from better informed market players. Consequently he realizes lower performance and can be taken advantage of by opponents with access to superior cost data. We conclude that in order to achieve profit leadership, current reputational market leaders have a great interest in improving the accuracy of their own cost report system.

Abstract: We study how decision makers learn to improve performance across repeated budget alloca... more Abstract: We study how decision makers learn to improve performance across repeated budget allocation decisions. The costing system they use should be able to provide information that is of incremental value over mere outcome feedback and informal knowledge about customer's cost. We report an experiment demonstrating that customer profitability analysis (CPA) facilitates learning of the most appropriate allocation of a marketing budget among customers.

ABSTRACT-Prior research on the consumer price fairness judgments mostly concentrates on the Dual ... more ABSTRACT-Prior research on the consumer price fairness judgments mostly concentrates on the Dual Entitlement principle as a dominant rule for evaluation of the fairness of price changes introduced by firms. However, current literature provides a very limited theoretical explanation for this principle. Building our reasons on equity and motivational theories we tested how the choice of a fairness principle is influenced by several situational factors.

ABSTRACT This study reports the results of an experiment designed to investigate the value of mor... more ABSTRACT This study reports the results of an experiment designed to investigate the value of more accurate cost reports (ABC) in competitive pricing decisions. Previous work showed that in more competitive environments, cost system choice matters less since there is opportunity to learn from informative market signals. Our study argues that in a dynamic duopoly learning from such informative market signals is less effective when decision makers act as market leaders deciding first on prices.

Une mesure implicite est une mesure utilisant un protocole de recueil de données non centré direc... more Une mesure implicite est une mesure utilisant un protocole de recueil de données non centré directement sur l'objet d'investigation. Les mesures implicites présentées dans ce papier concernent soit la restitution mémorielle d'un concept unique (ie la mémoire implicite), soit la restitution mémorielle d'associations (par exemple le Test d'Associations Implicites). Six domaines d'applications de ces mesures en marketing sont détaillés. Pour chaque domaine, les apports de ces mesures sont clairement identifiés.

We demonstrate that task-irrelevant somatic activity influences intertemporal decision making: Ar... more We demonstrate that task-irrelevant somatic activity influences intertemporal decision making: Arm movements associated with approach (arm flexion), rather than avoidance (arm extension), instigate present-biased preferences. The effect is moderated by the sensitivity of the general reward system and, owing to learning principles, restricted to arm positions of the dominant hand.

Abstract: Research presented in this article examines the impact of private self-awareness on con... more Abstract: Research presented in this article examines the impact of private self-awareness on consumer decision making. Three studies report converging evidence that by increasing self-awareness, consumers encounter fewer problems in determining their product attitudes and, thereby, behave in a way that is more consistent with their own personal product preferences.

In three experiments we examined the notion that interpretative thinking guides impression format... more In three experiments we examined the notion that interpretative thinking guides impression formation when playing a prisoner's dilemma game. In a first experiment, we demonstrated that an interpretation goal is spontaneously triggered upon receiving ambiguous information about an interaction partner in the context of a prisoner's dilemma game. In Experiment 2, we examined whether in this context accessible knowledge is used as an interpretation frame for judging the interaction partner.

This paper reports experimental evidence on the potential benefits of reporting different levels ... more This paper reports experimental evidence on the potential benefits of reporting different levels of customer-related information in a pricing decision context. The paper mainly focuses on the influence of the complexity of the cost environment-measured by the degree of heterogeneity across customers-on the value of more accurate customer profitability systems. Contrary to the findings of Gupta & King (1997) our results indicate that the value of more accurate cost reports increases, as the cost environment becomes more complex.

Abstract We studied the decision making process in the Dictator Game and showed that decisions ar... more Abstract We studied the decision making process in the Dictator Game and showed that decisions are the result of a two-step process. In a first step, decision makers generate an automatic, intuitive proposal. Given sufficient motivation and cognitive resources, they adjust this in a second, more deliberated phase.

Abstract Visceral states are known to have a (detrimental) impact on our ability to exert self-co... more Abstract Visceral states are known to have a (detrimental) impact on our ability to exert self-control. In the current research, we investigate the impact of a visceral factor associated with inhibition, rather than with approach: bladder control. We argue that inhibitory signals are not domain specific, but can spill over to unrelated domains, resulting in increased impulse control in the behavioral domain. We show that urination urgency correlates with improved performance on color naming but not word meaning trials of a Stroop task (Study 1).

Abstract: Current knowledge accessibility research assumes primed trait concepts to have no biasi... more Abstract: Current knowledge accessibility research assumes primed trait concepts to have no biasing effects beyond the encoding stage. In a series of studies, we challenge this assumption. We predict that trait concepts still can influence the person judgments of a predictor who previously stored the target person information through selective retrieval of trait congruent information. Our results consistently reveal assimilation effects when participants are primed with traits at judgment.

What is self-awareness and why is it important? Self-awareness is critical for buyers and sellers... more What is self-awareness and why is it important? Self-awareness is critical for buyers and sellers because self-focused attention makes people more conscious of their attitudes and beliefs (Duval and Wicklund 1972). Social psychologists have investigated the implications of self-awareness for a variety of basic social and cognitive processes (emotions, pro-social behavior, and group dynamics)(Gibbons 1990).

Abstract Although the influence of identity on consumer behavior has been documented in many stre... more Abstract Although the influence of identity on consumer behavior has been documented in many streams of literature, the absence of a consistent definition of identity and of generally accepted principles regarding the drivers of identity-based behavior complicates comparisons across these literatures. To resolve that problem, we propose a simple but inclusive definition of identity.

ABSTRACT-For many decisions, consumers need to consider the preferences of their relationship par... more ABSTRACT-For many decisions, consumers need to consider the preferences of their relationship partners. When buying a suitable gift for his wife, for instance, a husband presumably tries to predict his partner's attitudes towards the alternatives he considers. Also joint decisions will proceed much more smoothly when partners know each other's preferences. Because consumers value partner approval, partner's attitudes are even taken into account when they purchase for themselves, like in clothes shopping.

It is a fundamental human drive to understand who one is, what one believes and what one does. Th... more It is a fundamental human drive to understand who one is, what one believes and what one does. Therefore, pointing out that consumers like products, brands and consumption behaviors that are linked to category labels with which they self-associate is rather uncontroversial. For example, if consumers view themselves as “athletes”, they are likely to behave in ways that are consistent with what it means to “be” an athlete.

ABSTRACT This study explores the effect of operating and strategic management plans on goingconce... more ABSTRACT This study explores the effect of operating and strategic management plans on goingconcern judgments for distressed firms. Prior archival going-concern research (eg, Behn, Kaplan and Krumwiede, 2001) indicates that operating turnaround initiatives taken by a financially troubled firm (eg, cost-cutting) have a negative impact on auditors' going-concern judgments, whereas strategic initiatives (eg, new cooperative agreements with other firms) have a positive influence on auditors' going-concern judgments.

Abstract: This article addresses purchasing decisions and the use of total cost of ownership (TCO... more Abstract: This article addresses purchasing decisions and the use of total cost of ownership (TCO) information. TCO is based on a monetary quantification of nonfinancial attributes and aggregation into a summary measure (such as cost per hour, per wafer, or per kilometer). From an accounting point-of-view, one intricate issue is the accuracy of the monetary quantification and how this affects decision-making.

abstract Two experiments investigate the relations between advertising exposure, self-esteem and ... more abstract Two experiments investigate the relations between advertising exposure, self-esteem and materialism. Evidence is found that ads for luxury products may influence consumers' levels of materialism and self-esteem. Consumers who claim being able to buy advertised luxuries report increased levels of materialism and an enhanced self-esteem after the exposure. In contrast, not being able to buy advertised luxuries appears to threaten consumers' self-esteem and to diminish their materialistic pursuits.

This study reports the results of an experiment to investigate the value of increased cost report... more This study reports the results of an experiment to investigate the value of increased cost report accuracy in competitive pricing decisions. Prior work has shown that in more competitive environments, cost system choice matters less since there is opportunity to learn from infonnative market signals. Our study argues that in a dynamic duopoly, learning from such infonnative market signals is distorted when decision makers act as market leaders deciding first on prices. Compared to second movers (followers), a leader with a biased cost report continues to prefer his own distorted cost figures over the informative signals emanating from better informed market players. Consequently he realizes lower performance and can be taken advantage of by opponents with access to superior cost data. We conclude that in order to achieve profit leadership, current reputational market leaders have a great interest in improving the accuracy of their own cost report system.

Abstract: We study how decision makers learn to improve performance across repeated budget alloca... more Abstract: We study how decision makers learn to improve performance across repeated budget allocation decisions. The costing system they use should be able to provide information that is of incremental value over mere outcome feedback and informal knowledge about customer's cost. We report an experiment demonstrating that customer profitability analysis (CPA) facilitates learning of the most appropriate allocation of a marketing budget among customers.

ABSTRACT-Prior research on the consumer price fairness judgments mostly concentrates on the Dual ... more ABSTRACT-Prior research on the consumer price fairness judgments mostly concentrates on the Dual Entitlement principle as a dominant rule for evaluation of the fairness of price changes introduced by firms. However, current literature provides a very limited theoretical explanation for this principle. Building our reasons on equity and motivational theories we tested how the choice of a fairness principle is influenced by several situational factors.

ABSTRACT This study reports the results of an experiment designed to investigate the value of mor... more ABSTRACT This study reports the results of an experiment designed to investigate the value of more accurate cost reports (ABC) in competitive pricing decisions. Previous work showed that in more competitive environments, cost system choice matters less since there is opportunity to learn from informative market signals. Our study argues that in a dynamic duopoly learning from such informative market signals is less effective when decision makers act as market leaders deciding first on prices.

Une mesure implicite est une mesure utilisant un protocole de recueil de données non centré direc... more Une mesure implicite est une mesure utilisant un protocole de recueil de données non centré directement sur l'objet d'investigation. Les mesures implicites présentées dans ce papier concernent soit la restitution mémorielle d'un concept unique (ie la mémoire implicite), soit la restitution mémorielle d'associations (par exemple le Test d'Associations Implicites). Six domaines d'applications de ces mesures en marketing sont détaillés. Pour chaque domaine, les apports de ces mesures sont clairement identifiés.

We demonstrate that task-irrelevant somatic activity influences intertemporal decision making: Ar... more We demonstrate that task-irrelevant somatic activity influences intertemporal decision making: Arm movements associated with approach (arm flexion), rather than avoidance (arm extension), instigate present-biased preferences. The effect is moderated by the sensitivity of the general reward system and, owing to learning principles, restricted to arm positions of the dominant hand.

Abstract: Research presented in this article examines the impact of private self-awareness on con... more Abstract: Research presented in this article examines the impact of private self-awareness on consumer decision making. Three studies report converging evidence that by increasing self-awareness, consumers encounter fewer problems in determining their product attitudes and, thereby, behave in a way that is more consistent with their own personal product preferences.

In three experiments we examined the notion that interpretative thinking guides impression format... more In three experiments we examined the notion that interpretative thinking guides impression formation when playing a prisoner's dilemma game. In a first experiment, we demonstrated that an interpretation goal is spontaneously triggered upon receiving ambiguous information about an interaction partner in the context of a prisoner's dilemma game. In Experiment 2, we examined whether in this context accessible knowledge is used as an interpretation frame for judging the interaction partner.

This paper reports experimental evidence on the potential benefits of reporting different levels ... more This paper reports experimental evidence on the potential benefits of reporting different levels of customer-related information in a pricing decision context. The paper mainly focuses on the influence of the complexity of the cost environment-measured by the degree of heterogeneity across customers-on the value of more accurate customer profitability systems. Contrary to the findings of Gupta & King (1997) our results indicate that the value of more accurate cost reports increases, as the cost environment becomes more complex.

Abstract We studied the decision making process in the Dictator Game and showed that decisions ar... more Abstract We studied the decision making process in the Dictator Game and showed that decisions are the result of a two-step process. In a first step, decision makers generate an automatic, intuitive proposal. Given sufficient motivation and cognitive resources, they adjust this in a second, more deliberated phase.

Abstract Visceral states are known to have a (detrimental) impact on our ability to exert self-co... more Abstract Visceral states are known to have a (detrimental) impact on our ability to exert self-control. In the current research, we investigate the impact of a visceral factor associated with inhibition, rather than with approach: bladder control. We argue that inhibitory signals are not domain specific, but can spill over to unrelated domains, resulting in increased impulse control in the behavioral domain. We show that urination urgency correlates with improved performance on color naming but not word meaning trials of a Stroop task (Study 1).

Abstract: Current knowledge accessibility research assumes primed trait concepts to have no biasi... more Abstract: Current knowledge accessibility research assumes primed trait concepts to have no biasing effects beyond the encoding stage. In a series of studies, we challenge this assumption. We predict that trait concepts still can influence the person judgments of a predictor who previously stored the target person information through selective retrieval of trait congruent information. Our results consistently reveal assimilation effects when participants are primed with traits at judgment.