Abstract: A study attempted to extend consumer satisfaction literature by theoretically and empirically examining: 1. the effect of perceived performance, 2. how alternative conceptualizations of comparison standards and disconfirmation capture the satisfaction formation process, and 3. possible multiple comparison processes in satisfaction formation. A laboratory experiment manipulated expectation of product performance by giving subjects either a favorable or unfavorable product evaluation. Product performance itself was manipulated by including 2 versions of the product: 1. an unmodified advanced model, and 2. an earlier model modified to guarantee poor performance. After being exposed to one of the 2 product evaluations and one of the 2 products, subjects evaluated the product themselves. The results suggest that perceived performance exerts direct significant influence on satisfaction, as do expected performance and subjective disconfirmation. This implies that researchers should include perceived performance in future efforts to measure satisfaction/dissatisfaction.