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Your environment

Your environment

We have a tendency to overestimate the effect of ourselves and our personalities and underestimate the effect of the situation and the environment in explaining our behavior (we call this the fundamental attribution error). In reality we are highly influenced by the momentary ‘Context‘ in which we make our decisions, by our ‘Social Environment‘, as well as by our ‘Meso & Macro environment‘ (such as our culture and politics) and -of course- the ‘Competitive Environment‘.

Domestic Country Bias

“We prefer domestic products over imported ones”

We have a bias against foreign products and favor domestic ones. This domestic country bias is manifested in our product perceptions as well as our buying behavior.

One should be careful though; the domestic country bias does not apply to all product categories. Moreover, this bias is more prevalent when our patriotic feelings are activated (e.g. Independence Day in the US, Kingsday in The Netherlands, or when your national team wins the World Cup).
Scientific research example:
Imagine you consider buying a DIY-drill. Do you think your preference is dependent on your nationality, or not? Of

Read More AboutDomestic Country Bias»


“When others mimic our behavior, we like them more”

Mimicry refers to the (often subconscious and automatic) imitation of other people’s behavior. You yawn when I yawn. You smile when I smile. You shake your foot when I shake my foot. We mimic because mimicry has clear benefits for us and it helps us reach our goals. For example, when I mimic you smiling at me during a conversation, you’ll like me more. We will also be more likely to bond together, and our conversation will be much more fluent.

There are two paths via which mimicry can be used to

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Weather effects

“The weather affects our decisions”

Weather conditions influence our mood. And is well established in the psychological literature that mood, feelings, and emotions affect our decisions.
On sunny days, we’re happier and more satisfied with life in general than on rainy days. This is because we misattribute our mood to our satisfaction with life in general (instead of attributing it to the weather). Nice detail: our tendency to ‘internalize’ is stronger for good moods, than for sad moods.
The effect is that on shiny days we behave as happy people do (e.g. we’re more risk-seeking on sunny days), but when the weather

Read More AboutWeather effects»

Position targeting

“We are easily influenced in which few product attributes we use to make a comparison”

When choosing between competing products, we find it hard to compare complex aspects. We even find it hard to use more than a few simple comparison attributes. Therefore we tend to base comparisons between competitors on just a couple of easily comparable criteria.

Being presented with a clear and specific set of attributes focuses our attention on these criteria, causing us to base our subsequent choices primarily on these criteria, ignoring other relevant ones.
Scientific research example:
Imagine you’re a student and you have to register for the

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Country of Origin-effect

“We prefer products from stereotypical countries”

We tend to stereotype products based on their country of origin. This effect is specific to a product category, and particularly relevant for brands with a weak country of origin (e.g. countries that we stereotype as producing low-quality goods). Especially quality perception is vulnerable to the Country of Origin-effect and the effect is higher when we’re a novice in the market.

For example – Germany is typically known for building good cars, whereas the French produce the best wine, the Swiss the best watches, and the Japanese are known for good TV sets.

One way to