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Journal of Business Research 101 (2019) 375–388

Contents lists available at ScienceDirect

Journal of Business Research


journal homepage: www.elsevier.com/locate/jbusres

Keeping the Joneses from getting ahead in the first place: Envy's influence T
on gift giving behavior

Julian Givia, , Jeff Galakb
a
John Chambers College of Business and Economics, West Virginia University, Morgantown, WV 26506, United States of America
b
Tepper School of Business, Carnegie Mellon University, Pittsburgh, PA 15213, United States of America

A R T I C LE I N FO A B S T R A C T

Keywords: Past research in gift giving has largely treated asymmetries between the types of gifts givers give and the ones
Gift giving recipients prefer to receive as unintentional errors on the part of givers. In contrast, we show that givers
Envy sometimes intentionally bypass gifts that they know will bring the most joy and happiness to their recipients.
Self-other decision making Specifically, we demonstrate that givers dislike giving gifts that compare favorably to their own possessions,
Prosocial behavior
because they feel that doing so would lead them to experience envy and thus become less satisfied with their own
Social comparisons
possessions. Consequently, they instead opt for other gifts that are not superior to their own possessions and thus
do not negatively impact their liking of their own possessions. Critically, givers sometimes opt for these alter-
native gifts even in cases where they know they are less preferred by recipients. Theoretical contributions and
practical implications are discussed. (144/150 words).

1. Introduction occasions are considered; Smith, 2017), these errors carry an enormous
deadweight (economic) loss (Waldfogel, 1993). Rightly, then, re-
Gift giving is inherently about making other people happy. Indeed, searchers have devoted much time to studying gift giving mistakes.
consumers spend a great deal of money (Flynn & Adams, 2009), time Early research employed a qualitative and/or anthropological approach
(Gino & Flynn, 2011), and effort (Zhang & Epley, 2012) when gift when examining why givers err and found that numerous factors are
giving to ensure that they deliver joy and happiness to their recipients. responsible. For instance, the anxiety givers experience prior to the gift
In the present research, however, we document a situation in which exchange systematically alters their choices in several different man-
consumers willingly forego gifts that will maximize their recipients' ners, which may lead to suboptimal gift selection (Wooten, 2000). Also,
happiness. Specifically, we show that consumers are averse to giving the fact that givers know just how much time and effort was put into a
gifts that are superior to their own possessions, because they believe gift, while recipients do not, can lead to differing assessments of the
that doing so would lead them to experience envy and thus like their same gift (Sherry, 1983). Additionally, givers may incorrectly perceive
own possessions less. As a result, they often instead give other gifts that some recipients as easy (vs. difficult) to please (or vice versa) and thus
are not superior to their own possessions and thus do not negatively use a gift selection strategy best served for an easily pleased recipient
impact their satisfaction with their own possessions. Critically, con- when they should use a strategy best served for a pickier recipient (or
sumers sometimes opt for these alternative gifts even when they know vice versa; Otnes, Lowrey, & Kim, 1993). Moreover, there is strong
they are less preferred by recipients. social pressure for recipients to always appear appreciative of a gift
regardless of whether they like it (or as the saying goes, to “never look a
2. Gift giving gift horse in the mouth”); thus, givers rarely learn when they err in their
gift choices (Sherry, McGrath, & Levy, 1993). More recently, re-
Despite often having the best intentions at heart, consumers fre- searchers have taken an experimental approach to studying gift giving,
quently struggle to give gifts that their recipients want to receive (for a and this recent research has shed light on numerous novel factors that
review, see Galak, Givi, & Williams, 2016). Given that a typical con- contribute to gift giving errors. For example, givers and recipients
sumer spends over $600 on average each year for winter holiday gifts perceive gifts from different construal levels (Baskin, Wakslak, Trope, &
alone (and likely close to $1000 each year, when other gift giving Novemsky, 2014; Choi, Park, & Yoon, 2018), which leads givers to give


Corresponding author.
E-mail addresses: julian.givi@mail.wvu.edu (J. Givi), jgalak@cmu.edu (J. Galak).

https://doi.org/10.1016/j.jbusres.2019.04.046
Received 11 October 2018; Received in revised form 26 April 2019; Accepted 28 April 2019
Available online 06 May 2019
0148-2963/ © 2019 Elsevier Inc. All rights reserved.
J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

too many desirable (vs. feasible) gifts. Givers and recipients also have aversive feelings stem from a decrease in satisfaction with an aspect of
differing opinions on what makes a gift thoughtful (Kupor, Flynn, & the self that arises from an upward comparison, such as when con-
Norton, 2017), different amounts of information regarding the re- sumers become less happy with their bodies after comparing their
cipient's preferences (Givi & Galak, 2017), and divergent views on the bodies to those of supermodels (Adjin-Tettey & Bempah, 2015), less
importance of the symbolic meaning of the gift (Cavanaugh, Gino, & content with their wages after comparing their wages to the wages of
Fitzsimons, 2015); these asymmetries also lead to gift giving errors. The those who make more money than them (Clark, Westergård-Nielsen, &
types of evaluations made by the two parties differ as well: givers make Kristensen, 2009), and less satisfied with their possessions after com-
comparative evaluations regarding gift quality, whereas recipients paring their possessions to the superior possessions owned by others
make absolute evaluations. This further complicates the task for givers (Ackerman, MacInnis, & Folkes, 2000). Given the unpleasant nature of
and leads to gifting mistakes (Teigen, Olsen, & Solås, 2005). envy, it is not surprising to learn that consumers have found several
A critical assumption in the aforementioned line of experimental ways to eradicate it whenever it is experienced. One way consumers do
research is that the giver's primary goal is to maximize the recipient's so is by improving the self in domains relevant to the source of the envy
happiness, and thus that giver-recipient asymmetries in gift choice are (Van de Ven et al., 2011). For example, if a friend owns the newest
unintentional. However, some research has found that givers are not iPhone, but a consumer owns an older iPhone, the consumer may
always focused solely on maximizing their recipients' utility; rather, simply purchase the newest iPhone. In other instances, merely im-
givers are also concerned with pleasing themselves with their gift proving the self in domains not relevant to the source of the envy is
choices, and this more selfish consideration sometimes leads them to sufficient to eliminate it (Zheng et al., 2018; Zheng & Baskin, 2018). For
knowingly select suboptimal gifts. For example, givers sometimes pass instance, if a college student learns that another student outperformed
on gifts they know are preferred in favor of unique but less preferred him on an exam, he may purchase a luxurious product to improve his
gifts, because giving a unique gift allows them to feel more thoughtful view of the self and to eradicate the envy the self was experiencing.
(Steffel & LeBoeuf, 2014). Similarly, when choosing between a re- Conversely, consumers sometimes instead “pull down” the envied other
quested gift that is sure to be liked or an unrequested gift that is not to a level closer to the self (Van de Ven et al., 2011). For example,
certain to be liked but that allows the giver to signal exactly how well participants in a study who are endowed with less money than others
they know the recipient, givers sometimes opt for the latter (Ward & will sometimes choose to reduce the amount of money designated for
Broniarczyk, 2016). Interestingly, this tendency is even more pro- those others to receive, even when it is costly for them to do so (Zizzo &
nounced when givers are giving to socially close (vs. distant) recipients Oswald, 2001). In some cases, rather than try to lift up the self or pull
(who would seem to be the recipients that givers would be most con- down the envied other, consumers try to change the basis of the com-
cerned with making happy; Ward & Broniarczyk, 2016). In addition, parison altogether so that they can feel superior to the envied other
givers spend more money on their gifts when they know others will be along some other dimension (Van de Ven et al., 2011). For instance, in
giving gifts of high (vs. low) quality, in part because they are averse to the iPhone example above, the consumer with the lesser iPhone may
looking bad by giving a gift that does not compare well to other givers' decide to purchase a Blackberry, which is inferior to the newest iPhone
gifts (Givi, Galak, & Olivola, 2017). At the extreme, when givers know in terms of its hedonic qualities, but superior in terms of its utilitarian
others will be giving high quality gifts, they may skip out on the gift qualities.
giving event altogether, rather than give a gift that looks second-rate in We propose that, in addition to these various strategies consumers
comparison to other givers' high quality gifts (Givi et al., 2017). In all employ to eliminate envy once it manifests, consumers also try to
these cases, givers are basing their decisions on how they themselves eliminate envy before it even materializes. More specifically, we pro-
will be affected by the gift they give, rather than on optimizing the pose that when making consumption decisions for others, consumers
recipient's utility. These findings are in line with much of the earlier are averse to choosing products (i.e., goods/experiences) that compare
qualitative/anthropological work in gift giving, which has also de- favorably to those they own themselves because doing so would lead to
monstrated that givers' goals sometimes venture far from maximizing a envy, which we conceptualize as a decrease in liking of one's own
recipient's happiness (Otnes et al., 1993; Sherry et al., 1993). In the possessions (or experiences, in the case of experiential consumption)
present work, we add to this research documenting the more self-cen- that arises from upward comparisons. Moreover, we posit that this
tered side of gift givers by investigating how a previously unexplored aversion is so strong that it sometimes even leads consumers to make
selfish desire influences givers' decisions; specifically, we demonstrate choices that result in the recipients of their decisions receiving clearly
how an avoidance of envy consideration leads givers to deliberately less preferred products. We employ the context of gift giving to test
give suboptimal gifts. these hypotheses and feel it is an apt setting in which to do so for
several reasons: First, gift giving is one of the most common situations
3. Consumer envy in which consumers make consumption decisions for others (Galak
et al., 2016). Indeed, there are numerous occasions for which con-
Consumers have an intrinsic tendency to compare themselves to sumers give gifts, and gift giving is a custom practiced around the globe
others (Festinger, 1954). Indeed, consumers compare themselves to (Beatty, Kahle, & Homer, 1991). Second, because consumers develop
classmates (Zheng & Baskin, 2018; Zheng, Baskin, & Peng, 2018), co- friendships with others who have similar interests and hobbies as they
workers (Ensley, Pearson, & Sardeshmukh, 2007), friends (Karanika & do (McPherson, Smith-Lovin, & Cook, 2001), and because friends often
Hogg, 2016), media ideals (Adjin-Tettey & Bempah, 2015), and even exchange gifts, the decision of whether to give a gift that is superior to
family members (Ensley et al., 2007). Upward comparisons (i.e., com- something owned by the self is likely made by consumers quite often.
paring the self to someone superior), however, may result in the aver- Third, gift giving is a context that is supposed to be governed by al-
sive feeling of envy, which is experienced “when a person lacks an- truism, making it perhaps the most conservative context for our re-
other's superior quality, achievement, or possession and either desires it search program, given our hypotheses. That is, in the context of gift
or wishes that the other lacked it” (Parrott & Smith, 1993, p. 906). As giving, social norms strongly support the notion that the giver should be
upward comparisons are made much more frequently and auto- concerned mostly with pleasing the recipient; this makes gift giving a
matically than downward comparisons (Festinger, 1954), consumers of conservative context in which to test our hypotheses, because we sug-
all cultures experience envy on a regular basis (Foster, 1972). Although gest that a giver will actively refrain from maximizing a recipient's
there are different forms (Van de Ven, Zeelenberg, & Pieters, 2011) and utility.
definitions (Smith & Kim, 2007) of envy, one facet of envy that re- Consumers' aversion to giving gifts that are superior to their own
searchers agree on is that it is accompanied by a range of negative possessions often results in a blatant disutility to the gift recipient,
feelings, such as sadness, frustration, and disappointment. These whereas other times it is less clear that it does. As an example of the

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

latter, imagine Mike is deciding what to give Gary for his birthday. as both hypothetical and real-life choices, to increase the general-
Mike owns tickets for below-average seats to a football game and tickets izability of our findings. In all studies, sample size was determined prior
for great seats to a basketball game. Mike is debating whether to give to collecting data (and was selected to be at least as large as the sample
Gary tickets for average seats to the football game or tickets for average sizes employed in earlier, related research), all independent and de-
seats to the basketball game, but does not know which sport Gary likes pendent variables are reported, and all participants who passed the
more. As we will show, under such circumstances, Mike will likely give instructional manipulation checks and attention checks are included in
Gary the tickets to the basketball game because he would not want Gary the analyses (except in Study 7, in which sample size was a function of
to have better seats than he does at the football game (as this would responsiveness to an advertisement prior to a deadline and in which
make him envious and less satisfied with his own seats). Although this more rigorous inclusion criteria were included; see Section 12.1). All
decision by Mike is strategic, it is not clear that it results in a disutility data and materials can be found here: Data and Materials.
to Gary because Mike does not know which sport Gary likes more.
Although we believe this type of behavior by itself is quite interesting, 5. Study 1A
we will go one step further and demonstrate that in many instances,
consumers' aversion to giving gifts that are superior to their own pos- Study 1A provides an initial test of our hypothesis that givers are
sessions clearly results in a blatant disutility to the gift recipient. For averse to giving gifts that are superior to their own possessions. We use
example, imagine that Mike knows that Gary likes football more than the methodology described in Section 4 and the product category of
basketball, yet still gives Gary the tickets to the basketball game. This housing decorations to test this prediction.
decision by Mike clearly leads Gary to receive a gift that provides him
with less enjoyment than the gift that was bypassed. Said otherwise, 5.1. Method
rather than give a gift that he knows will provide Gary with more joy
and happiness, Mike strategically opts to give a less preferred gift so 150 participants (62% female; Mage = 35.8, SDage = 12.5) from
that he himself will remain satisfied with his own experience at the Amazon's Mechanical Turk (MTurk) completed the study for $0.25.
game. In sum, we will demonstrate that consumers' aversion to giving Three participants were excluded for failing the instructional manip-
gifts that compare favorably to their own possessions impacts gift ulation check.
giving decisions both when the giver does not know which gift is pre- The study employed two between-subjects conditions: Halloween
ferred by the recipient and when the giver clearly knows which gift is Level 3, Winter Level 5 vs. Halloween Level 5, Winter Level 3. Adapting the
preferred. Moreover, we will show that this type of behavior occurs methodology employed by Ordabayeva and Chandon (2011), partici-
regardless of whether the recipient is a relatively new friend whom the pants read a vignette in which the National Holiday Federation (a fic-
giver does not know well or a close friend with whom the giver has a titious organization) rated the Halloween and Winter decorations of
well-established relationship. every house in their neighborhood and then used these ratings to place
each house into tiers ranging from tier 1 (the worst) to tier 5 (the best),
4. The present research for both types of decorations. Participants randomly assigned to the
Halloween Level 3, Winter Level 5 (Halloween Level 5, Winter Level 3)
To test our “envious gift giving” hypothesis, we utilize eight studies condition read that their house was placed into tier 3 (5) for Halloween
that typically follow a similar methodology: Participants imagine there decorations and tier 5 (3) for Winter decorations. Participants were
are two types of products, such as sunglasses and headphones. Next, then shown the distributions of the tiers for their neighborhood, and it
some participants imagine they own average sunglasses and great was pointed out which tier their house was in for each type of dec-
headphones, while others instead imagine they own great sunglasses orations. The vignette then explained that new neighbors had moved in
and average headphones. Participants then choose whether to give a across the street and that because the neighbors moved from an
recipient (who does not already own sunglasses or headphones) above- apartment, they did not own Halloween or Winter decorations. Parti-
average sunglasses or above-average headphones. In some studies, it is cipants then imagined they were out shopping for a gift for their new
not made clear which of the two gifts the recipient would prefer. We neighbors and came across Halloween and Winter decoration packages,
predict that in these studies, participants will be systematically less both of which were on sale for a good price and both of which they
likely to give a gift when it compares favorably to something they own estimated to be of tier 4 quality. Participants were again shown the
themselves versus when it does not. For example, when participants distributions of the tiers, except this time it was pointed out that, based
own average sunglasses (headphones) and great headphones (sun- on the participant's decision, the new neighbors' house would either
glasses), they should be relatively less likely to give the above-average become a tier 4 Halloween decoration house or a tier 4 Winter dec-
sunglasses (headphones), because doing so would lead to a lesser liking oration house (see Appendix A for the stimuli employed in the Hal-
of their own average sunglasses (headphones). In other studies, it is loween Level 3, Winter Level 5 condition). Next, participants indicated
made clear that the recipient prefers one of the gifts. Here, we predict which package they would buy for their neighbors, explained their
that most participants will indeed choose the preferred gift, but that choice (participants explain their choices in several studies, but we do
they will be less likely to do so when it compares favorably to some- not conduct any analyses on these explanations), answered an in-
thing they own themselves versus when it does not. For instance, when structional manipulation check (that instructed them to select a specific
participants know the above-average sunglasses are preferred, they response option), and responded to demographic questions.
should be relatively less (more) likely to give them when they own
average sunglasses (headphones) and great headphones (sunglasses). In 5.2. Results and discussion
other words, when the preferred gift is not superior to either of the
participant's possessions, they should have no reason to select the less Our primary measure of interest is the percentage of participants
preferred gift and thus should give the preferred gift most of the time. giving the Halloween (vs. Winter) decoration packages across the two
However, when the preferred gift is superior to one of the participant's conditions. As expected, a smaller percentage of participants in the
possessions, they should be relatively less likely to give it, because Halloween Level 3, Winter Level 5 (vs. Halloween Level 5, Winter Level 3)
doing so would lead to a lesser liking of their possession that compares condition gave the Halloween decorations (Halloween Level 3, Winter
unfavorably to it. Level 5: 33.8%; Halloween Level 5, Winter Level 3: 54.3%; χ2 (1,
The following studies systematically test the hypotheses outlined N = 147) = 6.28, p = .012; φ = 0.21, 95% CI for proportion difference
above. Throughout the manuscript, we employ several different types [4.8%, 36.2%]). In other words, most (60.5%) participants refrained
of gifts, giver-recipient relationships, and gift giving occasions, as well from giving the gift that was superior to something they owned

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

themselves (p = .013 in a binomial test against 50%). this aversion holds across different types of giver-recipient relationships
This study provides initial evidence in support of our hypothesis (neighbors and friends), product categories (housing decorations and
that givers are averse to giving gifts that are superior to their own concert tickets), and gift giving occasions (housewarming gifts and
possessions. Indeed, even though the decisions were identical across the birthday gifts). Next, we look to further demonstrate the robustness of
two conditions, givers strategically altered their gift choices so that they our findings by employing a new experimental design.
would not give a gift that was better than something they owned
themselves. Next, we look to replicate this finding while varying several 7. Study 2
aspects of the paradigm.
In the previous studies, participants chose between two gifts.
6. Study 1B However, givers' aversion to giving gifts that are superior to their own
possessions should also influence their absolute likelihood of giving a
Study 1B serves to replicate the findings of Study 1A while em- potential gift (at a more general level). That is, such a consideration
ploying a new gift giving occasion (birthday), type of giver-recipient should influence givers' overall likelihood of giving a gift; not just their
relationship (friends), and product category (concert tickets). These likelihood of giving a gift when it is pitted against another one.1 For
changes help increase the generalizability of our research. example, imagine a giver owns a pair of average headphones and is
deciding whether to give a recipient a pair of above-average head-
6.1. Method phones or to keep brainstorming other gift ideas. Our theory suggests
that the giver should be less likely to give the headphones under these
151 MTurk participants (52% female; Mage = 36.3, SDage = 12.8) circumstances than when they own great headphones. To that end, in
completed the study for $0.25. One participant was excluded for failing Study 2, we test this prediction that givers are less (more) likely overall
the instructional manipulation check. to give a gift when it is superior (inferior) to something they own.
The study employed two between-subjects conditions: Bad Acoustics
Seats, Good Microphones Seats vs. Good Acoustics Seats, Bad Microphones 7.1. Method
Seats. Participants read a vignette in which, through work, their cousin
had obtained each of them a free ticket to upcoming concerts for bands 299 MTurk participants (56% female; Mage = 36.9, SDage = 11.6)
called the “Acoustics” and the “Microphones.” Participants in the Bad completed the study for $0.25. Twenty-six participants were excluded
Acoustics Seats, Good Microphones Seats (Good Acoustics Seats, Bad for failing one of the attentiveness checks.
Microphones Seats) condition read that their seats at the Acoustics The study employed two between-subjects conditions: Envious, Not
(Microphones) concert were in one of the worst sections—section Envious. Participants read a vignette in which they and their significant
E2—and that their seats at the Microphones (Acoustics) concert were in other were going to be taking a trip with one of their friends and their
the front row of the best section—section A. Participants were then friend's significant other. Participants in the Not Envious (Envious)
shown a layout of the concert venue with their seats for each concert condition read that, for the flight to their destination, they and their
pointed out. Next, participants read that a friend's birthday was ap- significant other had booked seats in First Class (Premium Economy
proaching and that they had decided to buy their friend and their Class)—the best (second worst) of the four sections on the plane—and
friend's significant other tickets to one of the two concerts; however, the that their friend and their friend's significant other had booked seats in
only seats left at either concert were in section B—a section worse than Economy class—the worst of the four sections on the plane. Next, the
section A, but better than section E2. The tickets to both concerts were vignette explained that because the participant's friend's birthday was
said to be priced the same, because the bands were equal in popularity. approaching, the participant considered upgrading the friend's and the
Participants were again shown the concert venue, except this time it friend's significant other's seats from Economy Class to Business
was also pointed out that, based on their decision, their friend would Class—the second best section on the plane (see Appendix C for the
have section B seats for either the Acoustics concert or the Microphones stimuli employed in the study)—for $100. Participants then indicated
concert (see Appendix B for the stimuli employed in the Bad Acoustics how likely they would be to upgrade the seats (as opposed to giving
Seats, Good Microphones Seats condition). It was made clear to partici- something else as a gift) using a scale that ranged from 0 (0% Likely to
pants that because they did not have section B seats, no matter which upgrade their seats) to 100 (100% Likely to upgrade their seats). At the
concert they chose, they would not be able to spend time with their end of the study, participants answered an instructional manipulation
friend at the concert. Participants then indicated which concert they check, an attention check (about the type of gift they were considering
would give their friend tickets to, explained their choice, answered an giving in the vignette), and demographic questions.
instructional manipulation check, and responded to demographic
questions. 7.2. Results and discussion

6.2. Results and discussion As expected, participants in the Envious (vs. Not Envious) condition
were far less likely to upgrade their friend's seats to Premium Economy
Our primary measure of interest is the percentage of participants Class (Envious: M = 38.60%, SD = 29.51%; Not Envious: M = 49.09%,
giving the tickets to the Acoustics (vs. Microphones) concert across the SD = 33.13%; t(271) = −2.77, p = .006, d = −0.33, 95% CI
two conditions. As expected, a smaller percentage of participants in the [−17.95%, −3.02%]). That is, participants were systematically less
Bad Acoustics Seats, Good Microphones Seats (vs. Good Acoustics Seats, likely overall to give a gift when it was superior to something they
Bad Microphones Seats) condition gave the Acoustics tickets (Bad owned, in comparison to when it was not.
Acoustics Seats, Good Microphones Seats: 17.3%; Good Acoustics Seats, These results speak to the robustness of givers' reluctance to give
Bad Microphones Seats: 82.7%; χ2 (1, N = 150) = 64.03, p < .001; gifts that compare favorably to their own possessions. In particular, this
φ = 0.65, 95% CI [53.3%, 77.5%]). In other words, most (82.7%) study shows that givers' aversion to giving gifts that are superior to
participants refrained from giving the gift that was superior to some- their own possessions influences their overall likelihood of giving such
thing they owned themselves (p < .001 in a binomial test against gifts (at a general level). This study also employed a new product ca-
50%). tegory (airplane tickets), which further increases the generalizability of
Taken together, Studies 1A-B provide considerable evidence in
support of our hypothesis that gift givers are averse to giving gifts that
1
are superior to their own possessions. Further, these studies show that We thank an anonymous reviewer for this suggestion.

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

our findings. Next, we look to show that this aversion leads givers to demographic questions.
sometimes choose gifts that they know are less preferred.
8.2. Results and discussion
8. Study 3
As expected, a greater percentage of participants in the Envious (vs.
The previous studies demonstrated that givers avoid giving gifts that Not Envious) condition gave the less preferred gift (Envious: 17.2%; Not
are superior to their own possessions. However, it is not clear that gi- Envious: 9.7%; χ2 (1, N = 351) = 4.17, p = .041, φ = 0.11, 95% CI
vers in earlier studies were avoiding such gifts at the expense of their [0.4%, 14.6%]). In other words, although most participants across the
recipients' preferences. That is, although some participants likely were two conditions chose the preferred gift, when this preferred gift was (vs.
giving gifts they perceived to be suboptimal (otherwise there likely was not) superior to something participants owned themselves, they
would not have been differences across conditions in Studies 1A-B), the were nearly twice as likely to instead give the less preferred gift.
gift options were similar in terms of desirability; thus, we cannot say for This study demonstrates that when givers know that a recipient
certain that participants were giving gifts they felt were suboptimal. In would prefer a certain gift, but this gift is superior to something they
contrast, Study 3 aims to show that an aversion to giving gifts that own themselves, they are relatively likely to instead give a less pre-
compare favorably to one's possessions drives givers to give gifts they ferred gift that is not superior to something they own. However, when a
know are suboptimal. To achieve this goal, in Study 3, the two condi- preferred gift is not superior to something givers own, they are more
tions from Study 1A are crossed with which of the two types of dec- than happy to give it. Next, we look to provide support for an avoidance
orations the neighbors like the best. Therefore, there are two conditions of envy account for the phenomena documented thus far.
(Envious) in which the gift the neighbors like the best is also the one that
will cause the giver to feel envious (i.e., it is a better decoration package
9. Study 4
than the decorations the giver owns for that category), and there are
two conditions (Not Envious) in which the gift the neighbors like the
We have shown that givers are averse to giving gifts that are su-
best is the one that will not cause the giver to feel envious (i.e., it is not
perior to their own possessions and that this even drives them to
a better decoration package than the decorations the giver owns for that
sometimes deliberately give suboptimal gifts. Study 4 serves to provide
category). We predict that participants in the Envious (Not Envious)
initial evidence in support of our proposed psychological account for
conditions will be more (less) likely to give the decorations that are not
this aversion: givers believe they will feel envious and like their own
the neighbors' favorite.
possessions less if they give something that compares favorably to those
possessions. Given that our hypothesis suggests that this drop in liking
8.1. Method
results from comparisons, we would expect our effects to be stronger for
gifting decisions involving conspicuous (i.e., public, visible, etc.) versus
400 MTurk participants (59% female; Mage = 35.1, SDage = 11.8)
inconspicuous (i.e., private, not visible, etc.) gifts. That is, when givers
completed the study for $0.25. Forty-nine participants were excluded
know that the comparisons will be quite salient to them down the road
for failing one of the attentiveness checks.
(i.e., the products are conspicuous), they know that they will likely end
Study 3 is a 2 (Neighbors' Favorite: Halloween, Winter) × 2 (Envy:
up making them quite frequently. Further, they expect that these
Envious, Not Envious) between-subjects design. Participants read a
comparisons will lead them to like their own possessions less if the gift
vignette identical to one of Study 1A's vignettes, except that in the
is superior. Thus, givers should be averse to giving conspicuous gifts
Neighbors' Favorite-Halloween (Neighbors' Favorite-Winter) conditions, the
that are superior to their own possessions. However, when givers know
vignette included a sentence that read, “You remember that when you
that the comparisons will be less salient to them in the future (i.e., the
had talked to your neighbors they had mentioned that although they
products are inconspicuous), they know that they will likely not make
did not own any holiday decorations, their favorite type of holiday
them that often. Therefore, givers should expect that giving incon-
decorations are Halloween (Winter) decorations.” Therefore, there are
spicuous gifts that are superior to their own possessions will not lead
two conditions (Envious) in which the preferred gift of the neighbors is a
them to like their own possessions less (or will do so to a lesser extent)
better decoration package than the one the participant owns in that
and thus be more willing to give such gifts. To test this moderating role
category: 1) Participant owns tier 3 Halloween and tier 5 Winter, and
of conspicuousness, in Study 4, we cross the Envious and Non-Envious
the neighbors' preference is tier 4 Halloween (i.e., Envious-Halloween);
conditions from Study 3 with whether the decorations are outdoor or
2) Participant owns tier 3 Winter and tier 5 Halloween, and the
indoor decorations. We predict that when the decorations are outdoor
neighbors' preference is tier 4 Winter (i.e., Envious-Winter). There are
decorations, the findings from Study 3 will replicate, but that when the
also two conditions (Not Envious) in which the preferred gift of the
decorations are indoor decorations, the effect will be weaker.2
neighbors is not a better decoration package than the one the partici-
pant owns in that category: 1) Participant owns tier 3 Winter and tier 5
Halloween, and the neighbors' preference is tier 4 Halloween (i.e., Not 9.1. Method
Envious-Halloween); 2) Participant owns tier 3 Halloween and tier 5
Winter, and the neighbors' preference is tier 4 Winter (i.e., Not Envious- 805 MTurk participants (55% female; Mage = 33.1, SDage = 11.2)
Winter). Note that though this study has four conditions, we are inter- completed the study for $0.25. One hundred and eighty-five partici-
ested in the comparison of only the Envy conditions because the pants were excluded for failing one of the attentiveness checks.
Neighbors' Favorite manipulation simply serves as a counterbalance. Study 4 is a 2 (Neighbors' Favorite: Halloween, Winter) × 2 (Envy:
Indeed, a logistic regression on the dependent variable with Neighbors' Envious, Not Envious) × 2 (Decoration Type: Conspicuous, Inconspicuous)
Favorite, Envy, and their interaction as independent variables did not between-subjects design. Participants read a vignette identical to one of
reveal a significant interaction (χ2 (1, N = 351) = 0.46). Therefore, we Study 3's vignettes, except that several sentences and figures were
collapse across Neighbors' Favorite to form two conditions: Envious, Not changed to specify whether the decorations were outdoor or indoor
Envious (see Table 1 for the results across the original conditions). After decorations. Note that though this study has eight conditions, we are
reading the vignette, participants indicated which decoration package
they would buy for their neighbors, explained their choice, answered 2
In Studies 1A and 3, we did not explicitly state that the decorations were
two instructional manipulation checks, answered two attention checks outdoor decorations, however it is likely that participants acted under the as-
(about the types of decorations they chose between and the type of sumption that the decorations were outdoor decorations. See the limitations
decorations the neighbors said was their favorite), and responded to section of the General Discussion.

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Table 1
Setup and results of Study 3.
Condition Participant's Halloween Participant's winter decorations Neighbors' favorite % NOT giving neighbors' favorite
decorations decorations decorations

Envious-Halloween Tier 3 Tier 5 Halloween 17%


Not Envious – Halloween Tier 5 Tier 3 Halloween 8%
Envious-Winter Tier 3 Tier 5 Winter 17%
Not Envious - Winter Tier 5 Tier 3 Winter 12%

Table 2
Setup and results of Study 4.
Condition Participant's Halloween decorations Participant's winter decorations Neighbors' favorite decorations % NOT giving neighbors' favorite decorations

Decoration type - Conspicuous


Envious-Halloween Tier 3 Tier 5 Halloween 16%
Not Envious-Halloween Tier 5 Tier 3 Halloween 8%
Envious-Winter Tier 3 Tier 5 Winter 30%
Not Envious-Winter Tier 5 Tier 3 Winter 17%

Decoration type - Inconspicuous


Envious-Halloween Tier 3 Tier 5 Halloween 18%
Not Envious-Halloween Tier 5 Tier 3 Halloween 15%
Envious-Winter Tier 3 Tier 5 Winter 17%
Not Envious-Winter Tier 5 Tier 3 Winter 10%

interested in the comparison of only the Envy conditions across the two salient to givers after they give it, they may still believe they will ex-
levels of Decoration Type because the Neighbors' Favorite manipulation perience a drop in satisfaction with their own possessions (perhaps from
simply serves as a counterbalance. Indeed, a logistic regression on the either the comparison they make at the moment of their purchase, or
dependent variable with Neighbors' Favorite, Envy, Decoration Type, and from future comparisons that arise from knowing what the recipient
all interactions as independent variables did not reveal a significant owns). Next, we look to provide more evidence in support of an
three-way interaction (χ2 (1, N = 620) = 0.64). Therefore, we collapse avoidance of envy account for our findings.
across Neighbors' Favorite to form four conditions: Envious-Conspicuous,
Not Envious-Conspicuous, Envious-Inconspicuous, Not Envious- 10. Study 5
Inconspicuous (see Table 2 for the results across the original conditions).
After reading the vignette, participants indicated which decoration Study 5 serves to provide more evidence in support of our hypoth-
package they would buy for their neighbors, explained their choice, esis that givers are averse to giving gifts that compare favorably to their
answered two instructional manipulation checks, answered three at- own possessions because they believe that doing so will lead them to
tention checks (about the types of decorations they chose between, the feel envious and become less satisfied with their own possessions. To
type of decorations the neighbors said was their favorite, and the indoor that end, in Study 5, we directly asses participants' beliefs about how
vs. outdoor nature of the decorations), and responded to demographic their liking of their own possessions would change as a function of the
questions. gift they give. We predict that participants will expect to like something
they own less if they give a gift that compares favorably to it. Also, to
9.2. Results and discussion further test our avoidance of envy hypothesis, participants complete a
dispositional envy scale (Smith, Parrott, Diener, Hoyle, & Kim, 1999),
As expected, when the decorations were outdoor decorations which measures a person's tendency to make upward comparisons and
(Decoration Type-Conspicuous), a greater percentage of participants in the negative feelings they experience from such comparisons. We pre-
the Envious (vs. Not Envious) condition gave the less preferred gift dict that participants who score higher on this scale will show a
(Envious: 22.5%; Not Envious: 12.3%; χ2 (1, N = 322) = 5.78, p = .016, stronger effect.
φ = 0.13, 95% CI [2.0%, 18.4%]). However, when the decorations
were indoor decorations (Decoration Type-Inconspicuous), the percen- 10.1. Method
tage of participants who gave the less preferred gift did not differ
(significantly) across the Envy manipulation (Envious: 17.9%; Not 199 MTurk participants (56% female; Mage = 35.3, SDage = 10.6)
Envious: 12.2%; χ2 (1, N = 298) = 1.85, p = .174, φ = 0.08, 95% CI completed the study for $0.25. Sixteen participants were excluded for
[−2.4%, 13.8%]). failing one of the attentiveness checks.
This study demonstrates that, in line with an avoidance of envy Participants read a vignette identical to one of Study 1A's vignettes
account for givers' aversion to giving gifts that compare favorably to (whether the participant's decorations were tier 3 Halloween and tier 5
their own possessions, when givers know these comparisons will be less Winter or the opposite was counterbalanced between-subjects); how-
salient to them in the future, they are less likely to engage in such ever, rather than choosing which package to give, participants re-
strategic gift giving. That is, givers are far more likely to sacrifice their sponded to six scales (in total) on two separate pages. On one page,
recipients' preferences when a preferred gift is (vs. is not) superior to participants imagined that they gave the tier 4 Halloween decorations,
something they own themselves when they know the gift will be salient and on the other, they imagined that they gave the tier 4 Winter dec-
to them in the future, but are only moderately more likely to do so orations (the order of these pages was counterbalanced). On each page,
when they know the gift will be less salient. Interestingly, although the participants indicated how their liking of their own tier 3 and tier 5
result was not significant in the Inconspicuous condition, givers in the decorations would be affected if they were to give the designated
Envious (vs. Not Envious) condition were directionally more likely to package (i.e., tier 4 Halloween or tier 4 Winter). These scales ranged
give the inferior gift. This suggests that even when a gift will not be from −4 (I would like them much less) to +4 (I would like them much

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

more) and had a midpoint of 0 (I would like them the same). On each provide more evidence in support of this theoretical account for our
page, participants also indicated how their neighbors' liking of the de- findings.
signated package would be affected by the participant's own decora-
tions (again on a -4 to +4 scale; the order of these three measures on 11. Study 6
each page was randomized). Participants then completed an eight-item
dispositional envy scale (Smith et al., 1999; example item: “The bitter Studies 4 and 5 provided evidence in support of our hypothesis that
truth is that I generally feel inferior to others”). At the end of the study, givers are averse to giving gifts that compare favorably to their own
participants answered two instructional manipulation checks, an at- possessions because they believe that doing so will lead them to like
tention check (about the types of decorations mentioned in the vign- their own possessions less. In Study 6, we look to provide even stronger
ette), and demographic questions. evidence in support of this hypothesis, via a mediation approach.
Specifically, in this study, participants both choose between gifts and
10.2. Results and discussion indicate how their liking of their own possessions would change as a
function of the gift they give. This allows us to test our proposed me-
We first examine participants' beliefs about how their liking of their chanistic explanation via a mediation analysis.
tier 3 decorations would change based on what they imagined giving.
As predicted, a t-test against the midpoint (0) reveals that participants 11.1. Method
expected they would like their own tier 3 decorations less if they gave
the tier 4 decorations in that same category (M = −0.36, SD = 1.42; t 307 MTurk participants (59% female; Mage = 37.6, SDage = 11.5)
(182) = −3.39, p = .001, d = −0.25, 95% CI [−0.56, −0.15]). completed the study for $0.25. Thirty-two participants were excluded
However, participants expected that their liking of their tier 3 decora- for failing one of the attentiveness checks.
tions would be unaffected (or perhaps increase slightly) if they gave the The study employed two between-subjects conditions: San Francisco
tier 4 decorations in the other category (M = +0.16, SD = 1.17; t Level 3, Los Angeles Level 5 vs. San Francisco Level 5, Los Angeles Level 3.
(182) = 1.84, p = .068, d = 0.14, 95% CI [−0.01, +0.33]). Participants read a vignette in which they and their significant other
Next, we examine participants' beliefs about how their liking of were going to be taking a trip with one of their friends and their friend's
their tier 5 decorations would change based on what they imagined significant other to California. The vignette explained that the group
giving. As expected, participants did not believe that they would feel would be staying in San Francisco for two nights and in Los Angeles for
negatively about their tier 5 decorations, regardless of what gift they two nights. Participants randomly assigned to the San Francisco Level 3,
imagined giving. In fact, participants expected that they would like Los Angeles Level 5 (San Francisco Level 5, Los Angeles Level 3) condition
their tier 5 decorations more, regardless of whether they imagined read that they and their significant other had booked a Hilton hotel
giving tier 4 decorations in the same category as their tier 5 decorations room in San Francisco that Hilton rated as a 3-star (5-star) room, and
(M = +0.77, SD = 1.35; t(182) = 7.68, p < .001, d = 0.57, 95% CI booked a Hilton hotel room in Los Angeles that Hilton rated as a 5-star
[+0.57, +0.96]), or the other category (M = +0.46, SD = 1.21; t (3-star) room. All participants then read that their friend and their
(182) = 5.20, p < .001, d = 0.38, 95% CI [+0.29, +0.64]). friend's significant other had booked 2-star rooms in the same Hilton
We now turn to participants' beliefs about how their recipients' hotels in both cities. Next, the vignette explained that because the
liking of their gift would be influenced by what the participant owned. participant's friend had a birthday approaching, the participant decided
This allows us to test the possibility that participants in Study 1A gave that, as a birthday gift, they would upgrade their friend's room in one of
tier 4 decorations in the category in which they owned tier 5 decora- the two cities from a 2-star room to a 4-star room. It was specified that
tions because they thought the recipients would like these decorations identically-starred rooms cost the same in the two cities (e.g., a 4-star
more when they themselves owned tier 5 (vs. tier 3) decorations in that room in San Francisco cost the same as a 4-star room in Los Angeles)
category. (Thus, for this analysis, we conduct a within-subjects t-test.) and, thus, that upgrading the friend's room would cost the same re-
In contrast to this account, participants actually believed that their gardless of which city was chosen. Participants then indicated in which
recipients would experience a greater increase in liking of their dec- city they would upgrade their friend's room. Next, participants in-
orations when these decorations were in the category in which the dicated how, prior to making their choice, they thought their liking of
participant owned tier 3 decorations (M = +0.85, SD = 1.40), com- their 3-star room would be affected if they were to upgrade their
pared to when they were in the category in which the participant friend's room in each city (in a counterbalanced order, on the same
owned tier 5 decorations (M = +0.46, SD = 1.21; t(182) = 3.39, page). Each scale ranged from −4 (I thought I would like my room
p = .001, d = 0.26, 95% CI [+0.16, +0.60]). In other words, givers much less) to +4 (I thought I would like my room much more) and had
expect recipients to like gifts more when they compare favorably to the a midpoint of 0 (I thought I would like my room the same). To create a
giver's possessions; yet, as we have consistently demonstrated, givers single difference score (for our mediation analysis), we subtracted
refrain from giving such gifts. These two results shed further light on participants' responses to the measure that asked about how their liking
givers' willingness to give suboptimal gifts. would be affected if they upgraded their friend's hotel room in Los
Finally, we examine how participants' dispositional envy scores re- Angeles from their responses to the measure that asked about how their
lated to their beliefs about how their liking of their tier 3 decorations liking would be affected if they upgraded their friend's hotel room in
would change if they gave the tier 4 decorations in that same category. San Francisco. A lower (higher) difference score indicates that a par-
As expected, there was a significant negative correlation between these ticipant felt that their liking of their 3-star room would be more ne-
two variables, such that the higher participants scored on the disposi- gatively affected if they upgraded the friend's room in San Francisco
tional envy scale, the less they expected they would like their tier 3 (Los Angeles). At the end of the study, participants answered an in-
decorations if they were to give their neighbors the tier 4 decorations in structional manipulation check, an attention check (about the types of
the same category (r = −0.18, p = .017). gifts they chose between), and demographic questions.
This study provides considerable evidence that givers avoid giving
gifts that compare favorably to their own possessions because they 11.2. Results and discussion
expect that doing so will lead them to like their own possessions less.
Indeed, this study demonstrates, through both the direct assessment of Our primary measure of interest is the percentage of participants
an envy consideration and an envy individual difference measure, that upgrading their friend's room in San Francisco (vs. Los Angeles) across
an avoidance of envy motive is central to givers' aversion to giving gifts the two conditions. As expected, a smaller percentage of participants in
that compare favorably to their own possessions. Next, we look to the San Francisco Level 3, Los Angeles Level 5 (vs. San Francisco Level 5,

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

Los Angeles Level 3) condition upgraded their friend's room in San games and a friend would receive two tickets to one of the two games;
Francisco (San Francisco Level 3, Los Angeles Level 5: 35.2%; San specifically, whichever game the participant chose during the study.
Francisco Level 5, Los Angeles Level 3: 60.9%; χ2 (1, N = 275) = 18.17, The Pirates' stadium is organized such that the lower a section's
p < .001; φ = 0.26, 95% CI [14.3%, 37.1%]). In other words, most number, the better its seats (see Appendix D). Some participants (En-
(62.9%) participants refrained from giving the gift that was superior to vious) were told that if their name was drawn, they would receive two
something they owned themselves (p < .001 in a binomial test against tickets for 300-level (i.e., bad) seats to one of the games (e.g., the
50%). Brewers game) and two tickets for single-digit-level (i.e., great) seats to
Next, we examine participants' beliefs about how their liking of the other game (e.g., the Reds game). These participants then chose
their 3-star room would have changed if they had upgraded their whether they would want their friend to receive two tickets for 100-
friend's room in each of the two cities. As mentioned above, we created level (i.e., good) seats to the Brewers game or two tickets for 200-level
a difference score to assess these ideas with a single measure; a lower (i.e., average) seats to the Reds game. These participants should be
(higher) difference score indicates that a participant believed that their averse to giving their friend the good 100-level seats to the Brewers
liking of their 3-star room would have been more negatively affected if game, because they themselves would have only bad 300-level seats to
they had upgraded their friend's room in San Francisco (Los Angeles).3 this game, so we predict that they will be (relatively) likely to instead
As expected, the San Francisco Level 3, Los Angeles Level 5 condition had give their friend the average 200-level seats to the Reds game (even
a lower mean difference score (M = −0.30, SD = 1.40) than the San though these 200-level seats are worse than the 100-level seats they are
Francisco Level 5, Los Angeles Level 3 condition (M = +0.58, SD = 1.64; refraining from giving). Further, these participants would have great
t(273) = −4.81, p < .001, d = −0.58, 95% CI [−1.24, −0.52]. That single-digit-level seats to the Reds game and thus should not be averse
is, participants with a 3-star room in San Francisco and a 5-star room in to giving their friend average 200-level seats to this game. Other par-
Los Angeles thought their satisfaction with their 3-star room would be ticipants (Not Envious) made the same choice, but the location of their
more negatively affected if they upgraded their friend's room in San seats for each game was flipped. That is, if their name was drawn from
Francisco to a 4-star room, while participants with a 5-star room in San the lottery, they would receive two tickets for great single-digit-level
Francisco and a 3-star room in Los Angeles thought their satisfaction seats to the Brewers game and two tickets for bad 300-level seats to the
with their 3-star room would be more negatively affected if they up- Reds game (see Table 3 for a simplified summary of the conditions).
graded their friend's room in Los Angeles to a 4-star room. To test These participants should not be averse to giving their friend the good
whether this disparity mediated the difference in the percentage of 100-level seats to the Brewers game, because they themselves would
participants choosing to upgrade their friend's room in San Francisco have great single-digit-level seats to this game, so we predict that they
(vs. Los Angeles), we followed the method of Preacher and Leonardelli will be quite likely to give their friend the tickets to this game (because
Preacher and Leonardelli (2019) for mediation with a dichotomous these 100-level seats are better than the average 200-level seats to the
dependent variable. The Sobel test was significant (z = 2.20, p = .027; Reds game). Additionally, these participants would have only bad 300-
see Fig. 1 for mediation analysis), indicating that the disparity in the level seats to the Reds game, so they should be averse to giving their
difference scores was largely responsible for the asymmetry in the friend the average 200-level seats to this game (thus further motivating
percentage of participants upgrading their friend's room in each city. them to give the good 100-level seats to the Brewers game). In sum,
These results provide more evidence in support of our hypothesis participants in the Envious (Not Envious) condition should be more (less)
that givers are averse to giving gifts that compare favorably to their likely to choose the lesser 200-level seats, rather than the superior 100-
own possessions because they believe that doing so will lead them to be level seats.
less satisfied with their own possessions. Collectively, Studies 4–6
provide converging evidence in support of this consideration as the 12.1. Method
driver behind givers' aversion to giving gifts that compare favorably to
their own possessions. This study also employed a new product cate- Participants were recruited through a university-run panel, local
gory (hotel rooms), which further increases the generalizability of our subreddits, local Facebook pages, and the local Craigslist volunteer
findings. Next, we look to replicate our findings when the decisions page, via an advertisement that offered a $1.00 Amazon gift card for
involve real items. participation. The study was advertised during the weeks prior to the
games, and data collection stopped five days before the first game. Four
hundred and thirty-four potential participants responded to the ads. Of
12. Study 7 these, 298 were discarded because they failed one of the eligibility
requirements (see below), 31 were discarded because their IP address
The purpose of Study 7 is to show that givers' aversion to giving gifts appeared multiple times in the data (indicating multiple attempts at
that compare favorably to their own possessions leads them to choose study completion by the same person), and seven were discarded be-
suboptimal gifts when making real-life decisions. To that end, in Study cause their responses to the open-ended questions were flagged for
7, participants were informed that at the end of the study there would likely being written by the same person (e.g., identical responses by two
be a lottery and that if their name was drawn from the lottery, the gift participants who completed the study within minutes of each other).
they chose would be given to the recipient.4 More specifically, parti- This resulted in 108 successful completions of the study (51% female;
cipants were informed of two upcoming baseball games for the local Mage = 31.8, SDage = 11.9) after accounting for overlap among these
baseball team (Pittsburgh Pirates vs. Milwaukee Brewers and Pittsburgh exclusion criteria. Twenty-five of these participants were excluded for
Pirates vs. Cincinnati Reds) and were truthfully told that if their name failing an attention check.
was drawn from a lottery, they would receive two tickets to both of the The first screen of the study contained three eligibility questions
that were imbedded with several filler questions. The first eligibility
3
question measured the extent to which the potential participant liked
Note that when examining only participants' beliefs about how their liking
the Pittsburgh Pirates on a 1 (Not at all) to 5 (Very much) scale.
of their 3-star room would be affected by upgrading their friend's room to a 4-
Participants who responded below a 3 were deemed not eligible. We
star room in that same city, we replicate Study 5's findings, such that partici-
pants expected that doing so would lead them to like their own 3-star room less felt it was necessary to exclude those who did not like the team, because
(M = −0.22, SD = 1.32; t(274) = −2.74, p = .007, d = −0.17, 95% CI they may not have felt envious if their friend had better seats to a game
[−0.38, −0.06]). than they did. The second eligibility question asked participants on
4
Previous gift giving research has successfully employed lottery systems (e.g., which of seven dates they had evening plans. Participants who in-
Gino & Flynn, 2011; Givi & Galak, 2017; Ward & Broniarczyk, 2011). dicated they had evening plans on either of the dates of the games were

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

Difference Score
B = .32**
B = .88*** (B = .24*)
B = 1.05***
(B = .88**)
Condition Upgrade the SF Room
Fig. 1. Study 6 mediation analysis.
Note: Condition coded as: 1 = San Francisco Level 5, Los Angeles Level 3, 0 = San Francisco Level 3, Los Angeles Level 5. Values in parenthesis indicate results when both
Condition and the difference score are included in the regression. *p < .05, **p < .01, ***p < .001.

Table 3
Setup and results of Study 7.
Condition Participant's seats at Brewers game Participant's seats at Reds game Choice % Giving 200-level seats

Envious-Brewers 300-level Single-digit-level 100-level Brewers or 200-level Reds 50%


Not Envious-Brewers Single-digit-level 300-level 100-level Brewers or 200-level Reds 28%
Envious-Reds Single-digit-level 300-level 200-level Brewers or 100-level Reds 50%
Not Envious-Reds 300-level Single-digit-level 200-level Brewers or 100-level Reds 24%

deemed not eligible. The third eligibility question asked participants to 200-level orange section (e.g., 223) for the Reds game. Participants in
indicate for which of seven social media outlets they had accounts. the Not Envious-Brewers condition were told that they would have two
Participants who did not have a Facebook account were deemed not seats in a single-digit-level light red section for the Brewers game and
eligible (see below). two seats in a 300-level green section for the Reds game, and that they
Eligible participants were then informed that they would be taking a could choose for their friend to have two seats in a 100-level light blue
“Movie Survey” and a “Social Media Survey” and that if they completed section for the Brewers game or two seats in a 200-level orange section
both, they would receive a $1 Amazon gift card and be entered into a for the Reds game. Participants in the Envious-Reds condition were told
lottery for Pittsburgh Pirates tickets. Participants then completed the that they would have two seats in a single-digit-level light red section
Movie Survey (which served as a sham task to conceal the true nature of for the Brewers game and two seats in a 300-level green section for the
the study) before advancing to the Social Media Survey. To begin the Reds game, and that they could choose for their friend to have two seats
Social Media Survey, participants listed the name of a friend with a in a 200-level orange section for the Brewers game or two seats in a
Facebook account. Next, they were informed that the researchers were 100-level light blue section for the Reds game. Participants in the Not
interested in how consumers use social media to interact at sporting Envious-Reds condition were told that they would have two seats in a
events and thus needed some participants to go to Pittsburgh Pirates 300-level green section for the Brewers game and two seats in a single-
games. Therefore, at the end of data collection, there would be a lottery, digit-level light red section for the Reds game, and that they could
and if their name was selected, a researcher would give them two choose for their friend to have two seats in a 200-level orange section
tickets to both an upcoming Pittsburgh Pirates vs. Milwaukee Brewers for the Brewers game or two seats in a 100-level light blue section for
game and an upcoming Pittsburgh Pirates vs. Cincinnati Reds game, the Reds game. Note that though this study has four conditions, we are
and give their friend two tickets to one of these two games; specifically, interested in only the comparison of the Envious conditions, because the
whichever game the participant chose during the study. It was made Game with 100-Level Seats manipulation simply serves as a counter-
clear that the two tickets their friend would receive were for different balance. Indeed, a logistic regression on the dependent variable with
seats than their own seats and that they would not have to give up their Game with 100-Level Seats, Envy, and their interaction as independent
seats to either game. It was also made clear that they and their friend variables did not reveal a significant interaction (χ2 (1,
would separately receive their tickets from the researcher (to avoid the N = 83) = 0.05). Therefore, we collapse across Game with 100-Level
possibility of a participant planning to sell their friend's tickets). Next, Seats to form two conditions: Envious, Not Envious (see Table 3 for the
participants were told that if their name was selected, then during results across the original conditions).
whichever game they chose for their friend, they would both be re- To ensure everything was clear, participants re-wrote a paragraph
quired to tag each other in Facebook posts at least once per inning and explaining who would receive what tickets to each game if their name
discuss what they liked and disliked about their seats and the per- was chosen from the lottery. Next, they chose which game they would
spective from their seats. This facet was included to keep the cover story want their friend to receive tickets to, answered an attention check
of a Social Media Survey realistic, to keep participants from planning to (about which game(s) they and their friend would receive tickets to if
sell their own tickets, and to highlight the comparison of the partici- their name was drawn from the lottery), and responded to demographic
pant's versus the friend's seats. questions. After the study, the participant whose name was drawn from
The study then became a 2 (Game with 100-Level Seats: Brewers, the lottery and the friend were given their respective tickets.
Reds) × 2 (Envy: Envious, Not Envious) between-subjects design.
Participants were shown stadium maps with arrows indicating where
12.2. Results and discussion
their seats would be for each game and where their friend's seats could
possibly be for each game (see Appendix D for the stimuli employed in
As expected, a greater percentage of participants in the Envious (vs.
the Envious-Brewers and Not Envious-Brewers conditions). Participants in
Not Envious) condition chose for their friend to receive the tickets for
the Envious-Brewers condition were told that they would have two seats
the lesser 200-level seats (Envious: 50.0%; Not Envious: 25.6%; χ2 (1,
in a 300-level green section (e.g., 325) for the Brewers game and two
N = 83) = 5.18, p = .023, φ = 0.25, 95% CI [4.3%, 44.6%]). In other
seats in a single-digit-level light red section (e.g., 19) for the Reds game,
words, participants were more likely to refrain from giving their friend
and that they could choose for their friend to have two seats in a 100-
the tickets to the game with the better seats when they themselves
level light blue section (e.g., 121) for the Brewers game or two seats in a
would have had inferior seats at that game, in comparison to when they

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

would have had superior seats at that game. they likely would not frequently compare to their own possessions
This study demonstrates that even when making real-life decisions, down the road and that thus would not cause a disutility to the self. This
givers are more likely to forego their recipients' preferences if a gift is is all to say that our work shows that altruism and selflessness some-
(vs. is not) superior to something they own themselves. This study also times take a back seat to selfishness in gift giving contexts.
employed a new product category (baseball tickets), which further in- Our research has implications for both managers and consumers.
creases the generalizability of our findings. Managers often advertise and position their products as avenues
through which consumers can lead others to envy them. Indeed, both
13. General discussion the prevalence of products and adverting agencies that contain some
form of the word “envy” (e.g., HP ENVY Laptops, LG enV, Envy
Across eight studies, we systematically explored givers' aversion to Scooters, ENVY Advertising, Concept Envy Advertising, Envy Create,
giving gifts that compare favorably to their own possessions. We etc.) and the numerous commercials that depict how the promoted
showed that this aversion influences givers' choices across various oc- product can lead others to envy the consumer, speak to envy creation as
casions (housewarming gifts, birthday gifts, “out of the blue” gifts), a central goal in advertising. Our work suggests that such a focus on
product categories (housing decorations, concert tickets, airplane envy creation could have a downside: consumers may be averse to
tickets, hotel rooms, baseball tickets), and giver-recipient relationships purchasing products that cue an envy consideration when making
(neighbors, friends); that it drives givers to give gifts they know are less consumption decisions for others. Therefore, during times when con-
preferred; and that it arises because givers expect to like their own sumers are likely to be purchasing products for others (e.g., the Winter
possessions less as a result of giving something that compares favorably holidays), marketers may be wise to refrain from running advertise-
to said possessions. ments that center around envy generation. Another option may be to
keep such advertisements and simultaneously employ “buy one, get
13.1. Theoretical contributions and practical implications one” promotions. Allowing consumers to obtain a copy of the ad-
vertised product themselves should mitigate any feelings of envy.
Our work adds to the growing literature on gift giving (Galak et al., Furthermore, gift recipients enjoy receiving products identical to those
2016). Whereas most of the experimental gift giving literature has that givers purchase for themselves (Polman & Maglio, 2017), so this
treated asymmetries between the types of gifts givers give and the ones could be a “win-win-win,” so to speak, for givers, recipients, and
recipients prefer to receive as unintentional mistakes on the part of marketers. For consumers, our work suggests that those receiving gifts
givers, we documental a novel consideration that leads givers to should not expect to receive gifts that their givers feel are better than
sometimes choose gifts they know are suboptimal: a desire to remain their own possessions, even when the givers know that such gifts are
satisfied with their own possessions. Moving forward, those studying preferred. Thus, rather than requesting such products as gifts, con-
gift giving asymmetries should always be sure to consider, and test for, sumers should purchase them for themselves and request that givers
selfish giver motives as possible underlying drivers of said asymmetries purchase them other products instead. For those giving gifts, our work
(rather than assume givers are erring on accident). Relatedly, some illuminates a sinister consideration that harms their choices. A sound
research in economics has questioned whether the custom of gift giving strategy for givers faced with the uneasy situation of knowing that a
is even rational from a utility maximizing perspective, because no preferred gift compares favorably to their own possessions may be to
matter how hard givers try, they are unable to give recipients exactly learn what else the recipient would like and give that as a gift, rather
what they want every time they give a gift (Waldfogel, 1993). Our work than give something that is less preferred.
suggests that some of this deadweight loss is not an accident: givers
knowingly and willingly engage in suboptimal gift giving rather than 13.2. Limitations and future research
give a preferred gift that will lead to a lessened liking of their own
possessions. Although qualitative researchers have long suggested that Our work does have some limitations. One limitation is that in some
givers' desires may stray from the goal of maximizing the recipient's of our decorations studies, we did not state that the decorations were
happiness (e.g., Otnes et al., 1993; Sherry et al., 1993), very few ex- outdoor decorations—although we did state that the new neighbors did
perimental researchers have tested these hypotheses via an experi- not have decorations because they had moved from an apartment,
mental approach. Not only do we employ such an approach to test a which should have led participants to believe they were dealing with
hypothesis regarding a more selfish consideration of givers, but our outdoor decorations. Further, decorations are typically thought of as
avoidance of envy hypothesis is also one that, to the best of our outdoor items, which makes it more probable that participants believed
knowledge, has not even been explored by qualitative researchers. In that the decorations were outdoor decorations. The results of Study 4
sum, our work adds to each of the various gift giving literatures. support these suppositions. Another limitation is that in Study 7, par-
Our work also adds to the literature on consumer envy. Whereas ticipants' choices were not guaranteed to be realized, and thus they may
previous envy research has focused on how experiencing envy leads not have viewed them as fully consequential. Though we have no
consumers to make strategic consumption decisions aimed at elim- reason to speculate that participants' decisions would have system-
inating it, we show that consumers act strategically to eliminate envy atically changed if they were guaranteed to be realized, this possibility
before it can even manifest. Our work fits nicely with the envy research does exist. However, note that the lottery system we employed is useful
documenting consumers' willingness to “pull down” envied others (e.g., in gift giving research, as it allows for the observation of giver behavior
Zizzo & Oswald, 2001), as we show that even the possibility of envy can when givers are considering expensive gifts (which makes it unrealistic,
lead to destructive behaviors. Perhaps the most interesting facet of our from a financing perspective, to have every participant's choice rea-
work is that, unlike previous work studying the interplay of envy/social lized). Indeed, similar lotteries have been employed several times in
comparisons and consumer behavior, we study it in a context (gift earlier gift giving research (Gino & Flynn, 2011; Givi & Galak, 2017;
giving) that is supposed to be governed by altruism. That is, gift giving Ward & Broniarczyk, 2011). Another limitation is that, in our decora-
is inherently about pleasing others, yet we find that givers willingly tions studies, the vignette stated only that the two decoration packages
choose less preferred gifts rather than give something that will cause a were on sale, but did not state that they cost the same (in all other
disutility to the self. Moreover, we find that givers do so when giving to studies, it was stated that the gifts cost the same). Thus, an alternative
both close and less close recipients (i.e., friends and new neighbors) and explanation for the findings of those studies is that our manipulation
irrespective of other factors, such as the specific gifts under con- (i.e., Halloween Level 3, Winter Level 5 vs. Halloween Level 5, Winter Level
sideration and the gift giving occasion. In fact, the only time we found a 3) altered participants' perceptions of the decoration packages' prices.
(somewhat) weaker result was when givers were choosing a gift that For example, in Study 1A, participants in the Halloween Level 3, Winter

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Level 5 (Halloween Level 5, Winter Level 3) condition may have increased recipients. The self-centered gift giving that we documented occurred
(decreased) their predicted price of the Halloween decorations and despite us varying several factors across studies (e.g., social closeness,
decreased (increased) their predicted price of the Winter decorations, occasion, product category, etc.), but there must be circumstances
and then avoided a gift when it seemed expensive. To test this possi- under which givers are focused solely on pleasing their recipients. In
bility, we ran a post-test in which participants were assigned to one of our view, the literature would benefit greatly from a framework that
these two conditions and then estimated the price of one of the dec- identifies such circumstances.
oration packages (i.e., there were four between-subjects conditions).
The conditions that estimated the Halloween decoration package's price 13.3. Conclusion
estimated similar prices (MH3W5 = $72.11 vs. MH5W3 = $83.43;
p = .374), and the conditions that estimated the Winter decoration In summary, our work documents a novel consideration that drives
package's price estimated similar prices (MH3W5 = $95.58 vs. givers to knowingly give suboptimal gifts, contributes to numerous
MH5W3 = $91.24; p = .769). Further, an ANOVA on the estimated price literatures, has several practical implications, and opens many doors for
with the participant's decorations, the decorations being evaluated, and future research. As gift giving is about bringing joy to recipients, we
their interaction as predictors did not reveal any significant main effects hope that readers take our findings to heart and refrain from any “en-
nor a significant interaction (all p's > 0.10). vious gift giving” in the future.
To that end, future research could address some of our work's lim-
itations or explore other interesting questions that stem from our work. Acknowledgements
For example, what are the other selfish considerations that lead givers
to intentionally give suboptimal gifts? Though we identified one such None.
consideration, there are undoubtedly others, and it is our hope that
future research methodically explores them. Relatedly, a worthwhile Outside funding sources statement
endeavor for future work is to develop a conceptual framework for
when givers care more about pleasing themselves versus their No outside sources contributed to the funding of this research.

Appendix A. Stimuli employed in the Halloween Level 3, Winter Level 5 condition in Study 1A

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

Appendix B. Stimuli employed in the Bad Acoustics Seats, Good Microphones Seats condition in Study 1B

Appendix C. Stimuli employed in the Envious and Not Envious conditions in Study 2

Envious:

Not Envious:

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J. Givi and J. Galak Journal of Business Research 101 (2019) 375–388

Appendix D. Stimuli employed in the Envious-Brewers and Not Envious-Brewers conditions in Study 7

Envious-Brewers:

Not Envious-Brewers:

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