The benefits of a bad reputation.
- Posted by Paul Gowder on January 11th, 2013 filed in consumer rage, economics, psychology
- 1 Comment »
Paranoid behavioral economics thought of the day: it’s actually beneficial for oil change places to have a reputation for crookedly upselling people for massive hundreds-of-dollars work. Because then when they only try to upsell you for 20 bucks or so, the anchoring effect makes it seem like a bargain.
January 11th, 2013 at 11:37 am
Collective good problem?