In a delete frame, the opposite process occurs, whereby customers have to deselect options or downgrade from a fully-loaded model. In an add mode, customers start with a base model and then add more or better options. Second, the manufacturer can frame options differently by employing either an ‘add’ or ‘delete’ customization mode (or something in between). The more uncertain customers are about their decision, the more likely it is that they will go with the default, especially if it is explicitly presented as a recommended configuration. The way in which these product choices are presented to buyers will influence the final purchases made and illustrates a number of concepts from behavioral economic (BE) theories.įirst, the base model shown in the customization engine represents a default choice. At this stage, most technology manufacturers will show a base model with options that can be changed according to the buyer’s preferences.
But the decision making process did not stop there, as you now had to customize your model by choosing from different product attributes (processing speed, hard drive capacity, screen size, etc.) and you were still uncertain which features you really needed. You may then have visited the manufacturer’s website to place your order. You may have decided to simplify your decision making by opting for a popular brand or the one you already owned in the past. Think about the last time you purchased a customizable product.
MODERN BIO STUDY GUIDE ANSWERS 25 1 DOWNLOAD
To learn more about the subject and the latest ideas, please download our free annual Behavioral Economics Guides. We invite you to join us in exploring the beautiful world of nature and life around us.* This introduction was originally published in the Behavioral Economics Guide 2014.
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MODERN BIO STUDY GUIDE ANSWERS 25 1 HOW TO
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