04 - Intervention ladder

Question 1

Win-win strategies

Answer 1

companies that improve the freedom of choice and choice-making capabilities may profit by attracting and retaining customers

Question 2

The intervention ladders (steps: bottom to top)

Answer 2

1) Doing nothing
2) Providing information: educate & inform
3) Enable choice: enable people to change
4) Guiding through default
5) Guiding through incentives
6) Guiding through disincentives
7) Restrict choice
8) Eliminating choice

Question 3

Going from the top to bottom:

Answer 3

The reasonableness and acceptance increases

Question 4

Going from bottom to the top:

Answer 4

The intrusiveness and effectiveness increases

Question 5

Win-win strategies, types of behavior:

Answer 5

• Efficiency behavior

- Habitual behavior

Question 6

Efficiency behavior

Answer 6

• one shot action
• requires some investment
• durable effects
• challenge: no room for efficiency
• examples: insulation, heating system

Question 7

Habitual behavior

Answer 7

• repeated frequently
• without conscious thinking
• change can be realized at low costs
• challenge: create routines that stick
• examples: exercising, eating healthy, shorter showers

Question 8

(1) Doing nothing

Answer 8

is sticking to the status quo

Question 9

(2) Offer information / educate

Answer 9

• Think of product labels on food
• Give information on how healthy the food on a receipt is
• Energy labels on products -> e.g. vacuum cleaners

Question 10

(3) Increasing freedom of choice

Answer 10

• zero sugar products
• light chips
• offering other service -> (swapfiets/uber/airbnb)
• GREEN SERVICING

Question 11

Green servicing

Answer 11

A business model that provides a more eco-efficient alternative to an existing economic function and moves to dematerialize economic activity

Question 12

(4) Guiding choice via changing the default (examples)

Answer 12

Via Nudging:

• different bowl sizes
• tall glass vs. wide glass
• make green energy the default
• opt-out for being a donor

Question 13

Nudging

Answer 13

Using subtle cues in the physical choice context that alters people’s behavior in a predictable way without forbidding any options or significantly changing their economic consequences
- it’s goal: harness individuals cognitive and motivational deficiencies.

Question 14

(5) Incentives to change behavior

Answer 14

• price reductions
• offering rewards on e.g. based on their energy savings
• often most effective in a competition setting

Question 15

(6) Disincentives to change behavior

Answer 15

• increase price/taxes

- for example, paying for plastic bags reduced the number of plastic bags issued by stores with 70%

Question 16

(7) Restricting choice

Answer 16

Supermarkets hardly offer conventional eggs anymore

Question 17

(8) Eliminating choice

Answer 17

E.g. banning old diesel cars from the city centre