The decoy effect has important implications for consumer decision making.A savvy consumer can use cognition to avoid being affected by the decoy effect.

Question

Quizplus · Accepted Answer

The statement is true. The decoy effect is a strategy used by businesses to influence consumers to make a certain choice by introducing a less attractive option, or decoy, that makes the preferred option seem more appealing. However, a savvy consumer who is aware of this effect can use cognitive processes to make a more informed decision and avoid being swayed by the decoy.

The Decoy Effect Has Important Implications for Consumer Decision Making