Mar-3503 Lecture Notes - Lecture 7: Digiorno, Daniel Kahneman, Product Bundling
Document Summary
System 1 - fast thinking, already been exposed to various times, stored in memory, no effort required. More animalistic we do s1 most of the time. System 2 - effortful thinking, slow process, calculation and reasoning needed. Sometimes you don"t want to say exactly what"s on your mind; stereotypes, social/cultural settings and appropriateness. Cultural, social, individual and psychological factors affects all steps. Estimating / evaluating the likelihood of an event. De ned: starting with an initial evaluation ( anchor judgement based on an initial value ) and adjusting it with additional information. Product bundling (most important item serves as anchor) Larger anchor values lead to larger amounts of consumption than starting with lower value and going up. 10 for vs. dollar sale - . Estimating that 2 events will occur simultaneously or 2 attributes are related. Expect a rich valor means high calories. Frozen pizza, not tasty digiorno ads try to overcome this judgement.
