Experiment 2: Odd-Even Pricing. For this experi- ment, you will only need one of the items from experiment 1.

a. Place a sign on the item that ends in $.99 (for example, $59.99). Ask research participants to tell you if they think the price for the item is very low, slightly low, moderate, slightly high, or very high. Also ask them to evaluate the quality of the item and to tell you how likely they would be to purchase the item.

b. This time place a sign on the item that ends in $.00 (for example, $60.00). Ask different research participants to tell you if they think the price for the item is very low, slightly low, moderate, slightly high, or very high. Also ask them to evaluate the quality of the item and to tell you how likely they would be to purchase the item.

The purpose of this miniproject is to help you become familiar with how consumers respond to different prices by conducting a series of pricing experiments. For this project, you should first select a product cate- gory that students such as yourself normally purchase. It should be a moderately expensive purchase such as athletic shoes, a bookcase, or a piece of luggage. You should next obtain two photographs of items in this product category or, if possible, two actual items. The two items should not appear to be substantially different in quality or in price. Note: You will need to recruit separate research partici- pants for each of the activities listed in the next section.

Develop a presentation for your class in which you dis- cuss the results of your experiments and what they tell you about how consumers view prices.