ABSTRACT Consumer’s reaction of company’s pricing policy becomes prominent. It will affect negative emotions and consumers trust when they are in disadvantaged price inequality situations, that is, when consumers learn that companies charge them a higher price than what the same companies charge other customers. This study aims to represent and test a conceptual framework for the consequences of internet provider’s price unfairness. Positing trust and emotions as two important perceptions of price unfairness and its relationship will affect to switching Intentions. The research data collected from questionnaires were distributed to 200 adolescents who actively use Internet in Yogyakarta Area with the structural equation model analysis by AMOS 22.0. The findings reveal that there was significant effect of price unfairness toward Switching Intentions. Existing customers that compared their price to a lower price offered to prospective customers experienced the perception of price unfairness. In turn, it triggered switching intention toward the company. Its effect also related to trust (cognitive driver) and negative emotion (emotional driver).
Keywords: Price unfairness, Trust, Negative emotion, Switching Intention