With the development af service marketing concepts comes
the need to test theory against consumer behavior. This study
examines differences in perceived risk and variability be
tween services and goods. In a controlled experiment
whereby product stimuli were objectively placed along a
goods-services continuum, data from consumers was col
lected focusing on six types of perceived risk and product
variability. The findings of the study provide evidence that
services evoke heightened risk and product variability per
ceptions.
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