Lecture 8 Flashcards
1
Q
Product Primacy
A
A consumer is presented the
product before the price
* Product first
* Process reward first
2
Q
Price Primacy
A
A consumer is presented the
price before the product
* Price first
* Process cost first
3
Q
What factors influence whether people choose to make purchases?
A
- Anticipating reward/something of value
- Integrating value and cost
- Anticipating loss and regulation of behavior
4
Q
Nucleus Accumbens (Nacc) function:
A
- Start to process preference/reward
related to pleasure, anticipation of gains
5
Q
Medial Prefrontal Cortex
(MFPC)
A
- Process preference
- Start to process cost
executive function, integration of gains and losses
6
Q
Insula
A
- Process preference
- Start to process cost
- Activation related to
decision not to purchase - related to decision-making, emotional/social regulation, anticipation of loss
7
Q
Question:
Does price or product primacy influence whether people purchase a utilitarian product?
A
People are more willing to purchase a utilitarian product if price is presented before product
8
Q
Sunk cost effects
A
“A greater tendency to continue an endeavor once an investment in money, effort or time has been made. “
9
Q
Is there a sunk cost effect for time?
A
- There is no sunk-cost effect for time
- Mental accounting for time and money are
dissimilar
