Integrated Approach to Management of Predictive and Normative Expectations

Abstract

The present study proposes a unified framework that incorporates management of desired expectations, adequate expectations, predictive expectations from a provider and from competitors, and the zone of tolerance. Management of expectations differs at three points of time – choice/purchase, actual service, and post-consumption stages. Unlike predictive expectations, the level of adequate expectations is affected by attribution process. By emphasizing uncontrollable factors, a company can create a positive differential between focal predictive expectations and adequate expectations and use it to its advantage. A provider needs to tread a fine line between consistent high performance and occasional pleasant surprises on variable basis