Does prior knowledge about a product-class increase or decrease the consumer's external search amount? Earlier studies have shown inconsistent results about the relationship between prior knowledge and the search amount. To clarify the problem, we classify the prior knowledge into specific knowledge and general product-class knowledge according to its content. Search cost and benefit are also considered in this study.
The results generally support our hypotheses that:
(1) Not the general product-class knowledge but the specific knowledge has main effect on the external search amount (negative relationship).
(2) The general product-class knowledge mediates the effect of search cost and search benefit on the external search amount. While the consumers with low general product-class knowledge level are more sensitive to search cost, those with high level are more sensitive to search benefit than the formers.
