A Resource Exchange Theory Analysis of Consumer Behavior

Resource exchange theory suggests service recovery compensation is optimal when it is commensurate with what was lost (e.g., refund for overcharging). However, in practice, companies cannot always follow the theory-driven prescriptions, and the complaint recovery literature remains silent on how to best recover in such suboptimal situations. This study takes a resource-based theory stance to propose Mix&Match, a complaint recovery framework for tangible compensation offers (refunds, redeliveries, or credits) to optimize customer retention and lifetime value in both optimal and suboptimal complaint recovery scenarios. We find that matching tangible compensation with the complaint cause (e.g., redelivery for expired products) is the most effective recovery response for improving customer retention and lifetime value. However, in suboptimal nonmatching scenarios, monetary compensation in the form of store credit proves to be the most effective response.

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Contrasts in Marital Satisfaction Throughout Old Age: An Exchange Theory Analysis

Journal of Gerontology ◽

10.1093/geronj/39.3.325 ◽

1984 ◽

Vol 39 (3) ◽

pp. 325-333 ◽

Cited By ~ 29

Author(s):

R. Gilford

Keyword(s):

Marital Satisfaction ◽

Old Age ◽

Exchange Theory ◽

Theory Analysis

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Social Support as an Interpersonal Construct

European Journal of Psychological Assessment ◽

10.1027//1015-5759.15.3.246 ◽

1999 ◽

Vol 15 (3) ◽

pp. 246-255 ◽

Cited By ~ 11

Author(s):

Krista K. Trobst

Keyword(s):

Social Support ◽

Present Article ◽

Measurement Model ◽

Exchange Theory ◽

Interpersonal Theory ◽

Interpersonal Circumplex ◽

Circumplex Model ◽

Psychometric Characteristics ◽

Agency And Communion ◽

Resource Exchange Theory

Summary: The present article relied upon interpersonal theory ( Sullivan, 1953 ), the interpersonal circumplex model ( Leary, 1957 ), resource exchange theory ( Foa & Foa, 1974 ), and the meta-constructs of agency and communion ( Bakan, 1966 ; Wiggins, 1991 ) in the attempt to explicate a theoretical and measurement model of social support. The Support Actions Scale - Circumplex (SAS-C; Trobst, in press ) provides a circumplex measure of social support whose psychometric characteristics are comparable to the best circumplexes reported in the literature. Empirical findings using this recent measure are summarized and interpreted with respect to an interpersonal theory perspective.

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