Toward an Understanding of the Economics of Apologies: Evidence from a Large-Scale Natural Field Experiment / Basil Halperin, Benjamin Ho, John A. List, Ian Muir.
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Item type | Home library | Collection | Call number | Status | Date due | Barcode | Item holds | |
---|---|---|---|---|---|---|---|---|
Working Paper | Biblioteca Digital | Colección NBER | nber w25676 (Browse shelf(Opens below)) | Not For Loan |
March 2019.
We use a theory of apologies to design a nationwide field experiment involving 1.5 million Uber ridesharing consumers who experienced late rides. Several insights emerge from our field experiment. First, apologies are not a panacea: the efficacy of an apology and whether it may backfire depend on how the apology is made. Second, across treatments, money speaks louder than words - the best form of apology is to include a coupon for a future trip. Third, in some cases sending an apology is worse than sending nothing at all, particularly for repeated apologies. For firms, <i>caveat venditor</i> should be the rule when considering apologies.
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