Working Paper
Why Customer Service Frustrates Consumers: Using a Tiered Organizational Structure to Exploit Hassle Costs
Sep 24, 2018
Develops a game theoretical model of the complaint process in which customer claims are heard and evaluated by the CSO, and studies the micro-economic incentives of a dissatisfied customer seeking compensatory redress from a firm’s CSO. Explores the relationship between a tiered CSO and the firm’s pricing and quality decisions.