Loss aversion

It is often used by marketers to influence consumer decisions. 1. Free Shipping: Many retailers offer free shipping as a way to entice customers to make a purchase. Customers are less likely focus on the cost of the item due to the perceived loss of not taking advantage of the free shipping. 2. Discounts: By offering a discount, customers are more likely to purchase the item due to the perceived loss of not taking advantage of the discount.

“The irony of obsessive loss aversion is that our worst fears become realized in our attempts to manage them.” – Daniel Crosby #trading #investing #portfolio

Loss aversion teaches us that if we want to convince someone of something, we shouldn't focus on the advantages. Rather highlight how it will help them avoid the disadvantages.

Loss aversion vs risk aversion - do you know the difference? This post touches on prospect theory, the disposition effect and impression management.

Imagine you got a letter from your bank indicating that they made an error to undercharge you, and now you have to pay a bill for $1,000. How do you feel? What could you have done with the money? How long will this feeling of loss linger?

It’s not often I get that lump in my stomach but yesterday it happened. Assertio Holdings, an investment of mine, had a stellar first half of the year. They were cheap, growing, and just closed a deal reducing their risk and adding a potential multi-billion dollar product to their repertoire. As I sat down to [...] The post Loss Aversion and Action Bias Unmasked appeared first on HIT Investments.

Food aversion in pregnancy is very common. You might not feel like eating at all or find the smells of certain foods extremely unpleasant. https://garypryor.net/dealing-with-loss-of-appetite-in-pregnancy-by-gary-pryor/