BUYING BACK FACE: A BEHAVIORAL ECONOMICS APPROACH TO CONSEQUENCES OF ACTUAL AND RECALLED FACE LOSS

摘要

It was confirmed, that a loss of face leads to a higher material risk aversion. The increased risk aversion is rooted in a perceived loss of access to an individual's personal social safety net. Additionally this study demonstrates that consumers try to regain face by conspicuous consumption, which is reflected in a higher willingness to pay for status products in the experiments. Global products are especially attractive for conspicuous consumption after face loss, at least for the young generation, which was used in the present study. The mediation analysis finds that material risk aversion mediates the higher willingness to pay for conspicuous and global products after face loss. Therefore, consumers try to buy back face, in order to get over the aversive state of reduced access to their personal social safety net.