Consumer price sensitivity and price thresholds14 14Sangman Han is Associate Professor, School of Business Administration Sungkyunkwan University, 53 3-ga, Myongnyun-dong, Chongno-gu, Seoul (phone: 82-2-760-0456, email: smhan@yurim.skku.ac.kr). Sunil Gupta is Meyer Feldberg Professor of Business (phone: 212-854-3467, email: sg37@columbia.edu) and Donald R. Lehmann is George E. Warren Professor (phone: 212-854-3465, email: drl2@columbia.edu), both at the Graduate School of Business, Columbia University, New