Social Norms & Market Norms
May 20, 2011 OffAs behavioral economist Dan Ariely notes in his book, Predictably Irrational, we live simultaneously in two worlds; one ruled by social norms, and the other determined by market norms. If you hire a professional designer to develop a website for you, they expect to be paid in cash. If they invite you to Thanksgiving dinner,…
Using the "IKEA Effect" to connect with your audience
June 17, 2010 OffIn his new book, The Upside of Irrationality – The Unexpected Benefits of Defying Logic at Work and at Home, behavioral economist Dan Ariely describes the psychological effects of ownership and creation, what he calls “The IKEA Effect”. In a nutshell, we tend to overvalue what we create or work on. This phenomenon is well documented and…