Beyond a Self-Control Tool: The Effect of Limit Setting on Preference Sensitivity

Wang et al's three studies showed that limit setting shifts the opportunity cost people consider when facing goal conflicts and thus promotes sensitivity to preferences among options serving the limited goal. Theoretically, their research contributes to the literature on goal conflict and budgeting, and further extends the literature on opportunity cost by investigating a novel antecedent that affects what type of opportunity cost people consider. Practically, their findings suggest that marketers can encourage consumers to set a limit to promote the purchase of premium products (when they are consumers' favorites). Moreover, limit setting may increase consumer welfare by encouraging choices that better fit consumers' inner preferences.