As any Post Graduate in Marketing, core of my focus for the professional reason was always on consumer behaviour and their decision making process, which gradually took the shape of interest in Neuroscience, Neuromarketing, Neuroconsumerscience, Behavioural Science and Behavioural Economics.
Latest in the series of books which I just finished reading is “Predictably Irrational: The Hidden Forces that Shape Our Decisions” by Dan Ariely, James B. Duke Professor of Psychology and Behavioural Economics at Duke University. Though this book was published twelve years back, but I became serious about this topic for last four years and I am taking one book and course at a time and I am glad I picked this book.
Divided in thirteen chapters, this book is masterpiece which helps us to sneak behind the façade of rational mind and tells that there is nothing called ‘rational mind’ when it comes to decision making and that also financial decisions. We all are construct and reflection of our memories as we have perceived them, loosely tagged with each other defining our narrative and we don’t make any rational decision. Our decisions are captive of our biases and heuristics which are formed over a period of time by our gender, social, educational, economical and demographical set up and can be primed and anchored in one direction.
All thirteen chapters, namely The Truth about Reality, The Fallacy of Supply and Demand, The Cost of Zero Cost, The Cost of Social Norms, The Influence of Arousal, The Problem of Procrastination and Self-Control, The High Price of Ownership, Keeping Doors Open, The Effect of Expectations, The Power of Price, The Context of Our Character Part I, The Context of Our Character Part II and Beer and Free Lunches having my experiments and findings conducted by Dan himself.
This is a must read book for anyone interested in Behavioural Economics. You can buy book from Amazon following this link Predictably Irrational by Dan Ariely