| Summary: | 碩士 === 國立臺灣大學 === 商學研究所 === 94 === Compromise Effect is supposed to occur when consumers make decisions in risky situations. Previous studies, however, focused on the compromise effects themselves such as the middle alternative, the balanced-attribute alternative, and the market-average alternative without investigating the relationship with perceived risk. More recently, although scholars substituted perceived risk with uncertainty, and
demonstrated that the higher a consumer’s decision uncertainty is, the more likely he will choose the middle alternative in the choice set, there is lack of research about other compromise alternatives. To differ from prior research, we substitute perceived risk with risk probability, and examine how risk probability influences the
compromise effect including the middle alternative and the market-average alternative. The empirical result shows a couple of things. First, the choice share of the middle
alternative is higher in the high risk probability situation than in the low risk probability situation. Second, the choice share of the adjacent alternative closer to the virtual market-average alternative is higher in the high risk probability situation than in the low risk probability situation. Third, the choice share of the market-average alternative in a binary set is higher in the high risk probability situation than in the low risk probability situation. To summarize, this research demonstrates that the compromise effects of the middle alternative and the market-average alternative are stronger in the high risk probability situation than in the low risk probability situation.
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