BSM 1

Marketers can use research-proven approaches to influence customers.

Instead of well-considered decisions, many people make hardwired or habitual responses to choices which are:

Key concepts in behavioural economics are:

Which disciplines are covered under behavioural science? (tick more than one)

In the real world, people do not always behave rationally.

Humans are cognitive misers.

Assumptions are needed in neo-classical economics so that mathematical models can be formed to predict human behaviour.

Areas in marketing where behavioural economics is useful are:

Tick which are the assumptions under traditional economics:

Behavioural science can help in which stages of the consumption process?

Behavioural economics is an intersection of ecconomics, sociology and psychology.

Some practical areas where behavioural science can be used in marketing are:

Behavioural economics uses empirical observations of human behaviour to understand factors affecting decision making.

Traditional classical economics can explain:

Real world behaviour is best understood by assuming that people are not fully rational.