Shopping and Bargaining in Mexico: The Role of Women

Abstract

Bargaining behaviors, such as price haggling, have been observed for a long time among consumers. However, research endeavors addressing this behavior remain relatively sparse and usually within lab-settings. Therefore, there is a need for not only addressing this behavior in real life settings but also in determining whether gender or nationality play a role on bargaining outcomes. To determine whether gender and nationality of the bargainer might produce differences in the prices obtained, this study looked into the bargaining process in several Mexican cities because of the wide prevalence of negotiated prices in informal markets. The participants were a Spanish speaking Hispanic male, a Spanish speaking Hispanic female, and an Anglo no-Spanish speaking male. The results show that a gender effect is present in bargaining outcomes Male participants were perceived as more interested in the bargaining process and its outcome than in the actual products they were buying. A reason for such interest could be the empowering feeling that produces a lowered price. In contrast, the female participant consistently obtained better prices she was perceived as highly interested in the products; Vendors would not only show her additional products but would also lower their prices whenever she asked.

Keywords: bargaining behavior, price haggling, gender differences, Hispanics