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Four reasons the same increase can mean different things
An elasticity coefficient is an output of a setting. The setting is part of the result.
| Condition beside the price change | What moves | What the evidence can support | What it cannot support |
|---|---|---|---|
| Satisfaction with the relationship | The customer's reaction to the magnitude of the increase | A satisfied customer can react less negatively than a dissatisfied customer under the tested conditions | Satisfaction makes a price increase safe |
| Last price paid | The buyer's reference point | A prior loss or gain can shape the next quantity and price response | A single reference price predicts every renewal |
| Seller's pricing history | The buyer's latent state | Repeated pricing decisions can move a buyer between more relaxed and more vigilant states | A model counterfactual is a measured profit uplift |
| Salesperson's own discount reference | The quote offered to the next customer | Seller-side anchors can shape the discount, and incentives can reduce the effect | A compensation change fixes every pricing problem |
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Reference & Evidence
Source: Author's synthesis of Homburg, Hoyer & Koschate (2005), Bruno, Che & Dutta (2012), Zhang, Netzer & Ansari (2014), and Bergers et al. (2023). The rows are mechanisms, not portable coefficients.