Gain is greater than the prospect

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A complaint, regardless of whether it is in the form of a warranty or guarantee, creates obligations on the seller's part. Here you will find out what the differences are between these two forms and what consequences they cause. ifirma.plEconomyThe most important conceptsProspect theory in financial decision-making For a long time, there was a belief in economics that people's economic decisions were always carefully calculated and rational.

Today it is widely known that in fact, during most decision-making processes, people are mainly guided by emotions. What is prospect theory The certainty effect Reflection effect Isolation effect The stronger phone number list effect Use of prospect theory – examples Prospect theory - summary This is exactly what prospect theory is about, and in this article we will show you how you can use it to create your offer and marketing communications.



What is prospect theory Prospect theory is a concept about the process of making financial, purchasing, investment, etc. decisions by people. It assumes that profit and loss are valued differently. More specifically, people are more willing to take risks when the prospect of of loss. According to the creators of this theory - Tversky and Kahneman - people experience negative emotions associated with loss more than positive feelings associated with gain. It's easy to illustrate this with a simple example: Given the options: A sure win of PLN % chance to win PLN or PLN Most people will choose the former.