Page 45 - Вишневская Виктория Юрьевна ©

ВИШНЕВСКАЯ ВИКТОРИЯ ЮРЬЕВНА ©

Irrational Behaviour of Consumer: Consumer Behavioius remains one of the
most research topics of all time, and this is because consumers don’t behave
rationally at all times. A perfectly rational consumer would take decisions
based on pure logic and think of his best interests.
But, psychologists have found, through studies that humans don’t act
rationally. Their decisions are influenced by factors like emotions as well as
logic. Many consumers who purchase luxury goods are not financially capable
of owning such goods. Americans are one of the highest consumers of designer
wear and also have the highest consumer debt. This phenomenon stands as
proof of how many Americans don’t always act in their best financial interest.
If you’re looking for a durable, high-quality bag, you’ll find a range of those
in the market for let’s say, $100. But yet, some people want to spend thousands
of dollars on a luxury-brand handbag that performs the same function and is of
the same relative quality.
Higher Priced Goods ≠ Better Quality Goods: Humans tend to focus more on
the positive elements of a product and ignore their disadvantages. For example,
people wait overnight for Apple to release its latest product- whether an iPhone
or a Mac or even Airpods. As the price for their products keeps on rising, the
accessories from Apple’s side keeps on reducing. Even though people are
aware of these facts, they yet fawn over Apple products even though they are
not technologically unique or superior.
On the other hand, other companies are known to make products a hundred
times cheaper as well as more functional and with better features than Apple.
Nevertheless, the sales of Apple keeps on increasing year after year due to its
brand loyal consumers.
Many people have the idea that the reason these goods are cheaper is because
they are of inferior quality. Hence, it becomes a mindset that higher-priced
luxury products will be of better quality. Even when there is evidence, people
tend to believe that you get what you pay for. Hence, whether the goods are
better or worse or affordable, it becomes pointless.
Exercise 83. Watch the video 1.9 and read and fill in the blanks.
https://www.youtube.com/watch?v=iNgB-j4-5HY
keeping leads information negotiation hiring
annual employer save better negotiate
warn cause leaves at each other pay secrecy
most survey underpaid overpaid part of
employees
You see, ……salaries secret ……to what economists call “……..asymmetry”.
This is a situation where, in a, ……one party has loads more information than
the other. |And in …….or promotion or …….raise discussions, an ……..can

vic_the_english_guru
Страница 43