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The power of apology

  • How should firms react to customer complaints after an unsatisfactory purchase? In a field experiment, we test the effect of different reactions and find that a cheap-talk apology yields significantly better outcomes for the firm than offering a monetary compensation.

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Author:Johannes Abeler, Juljana Calaki, Kai Andree, Christoph Basek
Document Type:Article
Year of first Publication:2010
Year of Completion:2010
Release Date:2017/03/25
Source:Economics letters. - ISSN 0165-1765. - 107 (2010), 2, S. 233 - 235
Organizational units:Wirtschafts- und Sozialwissenschaftliche Fakult├Ąt / Wirtschaftswissenschaften
Peer Review:Referiert