Marketing Papers
Document Type
Journal Article
Date of this Version
June 1993
Abstract
Escalation bias implies that managers favor reinvestments in projects that are doing poorly over those doing well. We tested this implication in a marketing context by conducting experiments on advertising and product-design decisions. Each situation was varied to reflect either a long-term or a short-term decision. Besides these four conditions, we conducted three replications. We found little evidence of escalation bias by 365 subjects in the seven experimental comparisons.
Recommended Citation
Armstrong, J. S., Coviello, N., & Safranek, B. (1993). Escalation bias: does it extend to marketing?. Retrieved from https://repository.upenn.edu/marketing_papers/16
Date Posted: 06 July 2006
Comments
Postprint version. Published in Journal of the Academy of Marketing Science, Volume 21, Number 3, Summer 1993, pages 247-253. The author has asserted his/her right to include this material in ScholarlyCommons@Penn.